GETTYSBURG, PA (October 27, 2023) – Adams and York County-based manufacturer Covington Plastic Molding recently expanded by purchasing its third facility—a $1.39 million property in West York, financed in part by a $595,000 low-interest loan arranged through Adams Economic Alliance and the state’s Pennsylvania Industrial Development Authority (PIDA).
“Manufacturing is a well-established industry with deep roots in South Central Pennsylvania, and it’s extremely rewarding to see continued growth in manufacturers’ innovation and ingenuity—such as Covington’s—sparked by the facilitation of a PIDA loan,” said Kaycee Kemper, Alliance Vice President.
A $595,000, 15-year low-interest (3.5%) loan processed through the Alliance’s Adams County Economic Development Corporation (ACEDC) and PIDA, in partnership with ACNB Bank, assisted Covington’s co-owners, brothers James and Scott in purchasing a 65,000 square-foot warehouse at 1601 West King Street, located in West York borough. It’s located one block from Covington’s York-based production facility. The company’s flagship location is in New Oxford.
Covington Plastic Molding produces plastic injection molded parts for numerous industries including retail, medical, electrical, sporting goods, transportation and military. The company was founded in 1998 by James and Scott Covington, as well as their father Steve who has since retired.
Driven in large part by the company’s production of key components utilized within computer server networks, Covington’s business has doubled in the past five years. Another high-volume customer is a national drug store company, for which Covington produces more than 1.5 million plastic snap-together picture frames, annually.
Expansion into the West York facility initially provides storage space, as well as future production areas. Portions of the building date back to the early 1900s.
“One of the big drivers the PIDA loan has, that makes it advantageous, is the interest rate,” said Scott Covington. “It’s about half of what you’d get through a commercially-available loan. When you’re talking about a purchase of this size, percentage points make a big difference.”
The loan marks the 152nd low-interest PIDA business loan facilitated by ACEDC. In total, the Alliance has now facilitated financing to more than 200 Adams County businesses throughout its history, generating a grand total of nearly $430 million in financing.
ACEDC is certified annually by DCED in order to process and administer loan and grant programs for Adams County’s businesses including those in the agricultural sector. Kemper encourages Adams County business owners, as well as aspiring entrepreneurs, to contact her regarding potential loan and grant opportunities. Kemper can be reached at the Alliance at 717-334-0042, ext. 2.
It is the mission of the Adams Economic Alliance to develop and implement creative community-based strategies to enhance economic opportunity and foster a dynamic framework for balanced growth and development through the Adams County Economic Development Corporation, Adams County Industrial Development Authority and Adams County General Authority. For more information, see adamsalliance.org, or follow the Alliance on Twitter, Facebook and LinkedIn.
MEDIA CONTACT: KAREN HENDRICKS / HENDRICKS COMMUNICATIONS / 717-253-3553
