Superior Wants Kestrel Aircraft to Pay Up
These loans date back to 2012.
DULUTH, Minn. – Kestrel Aircraft was supposed to bring a big economic boom to the city of Superior promising hundreds of new jobs.
So far Kestrel has not built its planned manufacturing plant in the community.
Now the Superior City Council is asking the company to pay up.
City Council President Dan Olson says Kestrel defaulted on a $2.4 million loan balance from the city, $500,000 loan from Douglas County and a $4 million loan from the state.
Superior city leaders say it’s important for the city to collect what is owed.
“We bonded for it, so we borrowed money out and now that money is sitting there. The smart thing to do would be to pay ourselves back, so that we’ve got money available for any projects coming forward in the form of bonding, tax increment, financing districts,” said Superior City Council President Dan Olson . It’s something that we have to recoup one way or the other and it’s a shame we’re going to have to pay from here to here.”
These loans date back to 2012. The lawsuit has not been filed yet.
But Olson says the city has agreed to partner with the Wisconsin Economic Development Corporation and the county to pursue legal action against Kerstel.