Selectmen gave a property tax break to a new business looking to invest millions of dollars in Wareham.

On Tuesday, board members officially approved a five-year tax abatement for Stone Path Malt, a business that supplies a key ingredient for commercial and home beer brewers. The company produces malt – germinated grains that are dried in a process called malting.

Stone Path Malt’s abatement will be 100 percent of its property tax bill this year and decrease each year until 2021 when it reaches 50 percent. According to town records, the property is assessed at $1.6 million. The annual property tax bill without the abatement is an estimated $18,000. The tax break was previously OK’d by voters at Town Meeting in October.

Stone Path Malt officials plan to invest $3.9 million in equipment and building improvements at 11 Kendrick Road. Additionally, the company is expected to bring 12 jobs to town.

Selectmen applauded the project. Board members noted a similar abatement for TownPlace Suites by Marriott was lucrative in the long run by attracting the hotel to Wareham. According to officials, the town collects $200,000 annually from that business.

“If history tells us anything, approving the hotel [abatement] was a no-brainer,” said Selectmen Chair Peter Teitelbaum.