N.L.C. PLANS TO SELL FORMER LENCO PROPERTY

JACKSON -- Interested in a 58,600 square foot building and a variety of equipment to set up manufacturing?

While not suitable for most people, individuals and businesses interested in the concept will converge in Jackson March 12 to bid in an auction of property of the former Lenco Inc. electronics division.

"This is just a cleanup effort," said David Hoelscher president of N.L.C. (New Lenco Corporation). "We are selling the excess assets of the old electronics division, which was already closed down when we bought the company."

Lenco shut down the 300 N. Maryland Street facility, which made television broadcast equipment, in June 1989. Of the division's 21 employees, 16 were laid off and five were transferred to other divisions then.

Hoelscher and his partners in N.L.C. bought Lenco through Federal Bankruptcy Court in November 1989 for $2.9 million. Jerry Ford of Cape Girardeau, its principal stockholder, had purchased Lenco in 1984 in a leveraged business deal then filed under Chapter 11 of the Federal Bankruptcy Code in June 1989. Lenco, organized in 1948, was formerly one of Jackson's major employers.

Hoelscher foresees two potential benefits from selling the property. He plans to re-invest the proceeds into N.L.C., to develop it further and re-acquire more of the former Lenco customers lost during bankruptcy proceedings. In a broader scope, he hopes new jobs may materialize in the community if a new manufacturer locates there.

"The building would be suitable for any light industry," Hoelscher said. "It has sprinklers and is air-conditioned."

The masonry building is situated on 2.5 acres and is zoned M-2 industrial. It formerly housed the Jackson Hosiery Mill before Lenco acquired it.

Items being sold in the auction include equipment for plating, printed circuit boards, machine shops, dark rooms, and office equipment.

National Industrial Services Inc., which specializes in industrial auctions, is conducting the auction. It will last one day. Pre-auction inspection will be allowed March 11. The company can be contacted at 1-800-327-6474 for more information.

Hoelscher said N.L.C. is well-housed in its present facility at 319 W. Main Street. The number of employees (80) and the production level has been stable since earlier last year. Production was curtailed then to decrease the inventory backlog. He declined to provide production or sales levels.

N.L.C. manufactures welding accessories, a welding training device, body shop spot welders, and custom plastic moldings.

The company acquired ten acres in the Jackson Industrial Park in the 1989 purchase agreement. Hoelscher said the land could be used for future expansion.

Officers of the Jackson Industrial Development Co. were not available for comment on potential manufacturers for the site.