Taking on $2.4mm of mortgage debt to a highly leveraged company might not be such a great idea. Hopefully production efficiencies, being able to take on more business , doing business on time when new engine parts requirements ramp up, selling or renting the existing facility at good rates will offset this new debt and interest cost.
This is a sure sign that business is expected to grow significantly ... hope Pagano is right.. and that Glenn did a good analysis before buying new space..... and maybe feds and state of Ct will give tax breaks.
$2.4mil of a mortgage is nothing. Heck they will probably even get lucky on the timing. They bought now at still depressed prices yet will not sell some of their own facilities for another year or two at probably much better prices. When all is said and done they likely upgraded facilities and capabilities for free....when you look back two years from now. Savvy move if you ask me.
Though not without some minor risks if they don't execute the moving well.