The Winslow Town Council has agreed to lease a small parcel of town-owned land at the Winslow Industrial Park to an engineering company that is planning to expand.

Under the terms of the 20-year lease, Wunderlich-Malec, a Minnetonka, Minnesota-based company, will get a 7.7-acre lot in the Industrial Park on U.S. Route 201. Only 1 acre of the lot can be developed, and the lease payment will be about $650 a year, the equivalent to what taxes on the property would be if it were taxable.

On Tuesday, a company representative said Winslow branch manager Alan Libby could not respond immediately to requests for comment.

The company plans to build a new facility and expand the footprint of its manufacturing shop at 2 Millennium Drive. In a written report to the council in June, Town Manager Michael Heavener said the company plans to demolish its current structure and build a $3 million manufacturing facility. A metal storage building stands on one of the lots the company plans to build on and will have to be moved to the leased property.

In his written report in July, Heavener asked the council to waive a second reading of the order authorizing him to sign the lease because the company was on an “accelerated timeline to construct a new facility.”

Wunderlich-Malec is an engineering firm with branches that work in a variety of industries. It has locations in 14 U.S. states. According to a company brochure, the Winslow building is one of two locations where the company manufactures control panels. The other factory is at the company’s Minnesota headquarters.