City Council approval will be needed Monday night for the Jamestown Local Development Corp. to make a $250,000 loan to a new company, Ultrasonic Precision Products, created by the merger of two other firms.
Robert Kenyon, economic development coordinator for the city's Department of Development, said Thursday the loan to Falconer Electronic's owner and operator, Roger E. Hall, for his company to merge with CAE Ultrasonics is contingent on approvals by other financial institutions.
According to Kenyon, Hall also is seeking loans from the Chautauqua County Industrial Development Agency, and the Greater Jamestown Empire Development Zone.
He said that CAE Ultrasonics, at 9 North Main St., has been a customer of Falconer Electronics, buying products for its electronic components. Development Director Steven Centi noted the merger will preserve 150 jobs, and could add 60 new positions to the merged company over the next five years.
The $250,000 Jobs and Private Investment Tier-2 loan from the Local Development Corp. is the largest since the corporation agreed to the larger, second-tier loan program.
Also this week, the Local Development Corp. approved a $22,000 loan for the new owner of a downtown restaurant. Centi said Douglas Landy is purchasing Joanne's Deli in the Third and Cherry Street Business Center. Landy plans to rename the restaurant the Golden Gate Deli, after its planned California cuisine.