A Middleton manufacturing firm is moving its operations to Sauk City after building a 12,000 square-foot facility in the village’s industrial area near Carolina Street and Community Drive.

Todd Milanowski, owner of Prime Components, Inc. struck a deal with village officials earlier this month to purchase the lot for $800,000.

Prime Components provides engineering, design and manufacturing of precision components and assemblies in a variety of markets including the automotive, aerospace, agriculture and the oil and gas industries.

The Village Board unanimously approved a developer’s agreement with Milanowski on Oct. 13 in which Sauk City would use tax incremental financing to provide site development funds of $95,000, a storm water connection and other services.

Since the property lies within a TIF district, Prime Components can finance certain portions of the infrastructure costs for the new building, including property acquisition. The increased property values over time will be used to pay back the loan, while the property tax difference is withheld from local taxing entities like the village, county, school district and Madison College.

Prime Components currently has eight employees, but Milanowski said the company expects to add employees over the next two years.

Milanowski, who lives in Spring Green, is a machinist who went on to design and manufacture his own products.

“By focusing on quality and service, I’ve been able to continue to grow the company through an up-and-down economy,” Milanowski said. “I’m excited to begin the next phase of my business in our new Sauk City facility.”

Prime Components general manager John Rosch, who lives outside Sauk City, said the firm hopes to break ground this fall, but it may be spring before construction begins.

“We’re very committed to the project,” Rosch said. “Our business is growing faster than we expected. When we were looking at communities, we really felt Sauk City had it together and was a good fit.”

Village Administrator Vicky Breunig said the village is excited to welcome the business.

“They are two amazing guys,” Breunig said. “They’re very proud of their business. We’re really lucky to have them. They’ll be a great addition to the community.”