NORWICH – Whether or not tax incentives are granted could make or break Byrne Dairy’s plans to construct a new facility in the City of Norwich, according to a company official.

Monday, Christian Brunelle, who serves as vice president of store development for the Weedsport-based corporation, told the Chenango County Industrial Development Agency that the project hinges on receipt of property tax abatement in the form of a Payment in Lieu of Taxes (PILOT) agreement.

Brunelle was before the board seeking both the PILOT agreement, and a sales tax exemption for building materials and supplies related to the construction of the facility, as well as fixed equipment.

“[The contract] is contingent on the PILOT,” Brunelle said, referring to the real estate contract Byrne’s parent company, Sonbyrne Sales Inc., has entered into with Bruce Beadle Realty. The company plans to acquire four parcels totaling 1.3 acres at the northwest corner of the East Main Street and Silver Street intersection in order to construct a new 7,000 square foot facility.

According to Brunelle, the building’s footprint will include a 4,000 square foot convenience store and fueling facility, which will make it the only gas station within the city limits. The remaining 3,000 square feet of space would be operated as a laundromat.

The new convienence store would replace the current Byrne Dairy facility adjacent to the firehouse on East Main Street.

Brunelle reported the new facility’s $1.9 million price tag was a conservative estimate.