The Ankeny City Council last week unanimously approved a tax break for developers of speculative industrial buildings.

The Speculative Building Incentive Policy, passed unanimously by the council on Aug. 3, provides qualifying developers a 10-year combination of tax abatement and tax rebates for spec projects, including the development of new buildings of more than 50,000 square feet, as well as expansions.

Tim Moerman, Ankeny’s economic development director, is hopeful that the new policy, drafted by the city’s Economic Development Task Force, will help alleviate a lack of contiguous industrial space in the community. The shortage – Moerman said 25,000 square feet is the current maximum amount of contiguous industrial space in the city – makes it difficult to attract and retain growing businesses.

“This policy makes it possible for businesses that value Ankeny’s unique location to locate or grow their operations on the I-35 corridor,” said Ankeny Mayor Steven Van Oort in a release. “Today’s action positions Ankeny to capitalize on business growth opportunities that will emerge as the national economy improves.”

“The incentive has to be put in place through a development agreement,” Moerman said, adding that though no applications have been received yet, at least four parties who are taking a harder look at Ankeny have contacted his office with questions.

The incentive, which took effect immediately following the council’s decision, will remain in effect for 24 months.