July 19, 2006
July 19, 2006
Projects Expected to Create and Retain 1,666 Jobs
Governor Jennifer M. Granholm today announced that the state is helping four companies expand their operations and is investing in three brownfield redevelopment projects which are expected to create and retain 1,666 jobs and generate $74 million in private investment in communities throughout Michigan. The expansions and redevelopments are a result of assistance provided by the Michigan Economic Development Corporation.
“We are working our comprehensive economic plan to grow jobs today and jobs tomorrow and with these company expansions and downtown developments we are continuing to see that work paying dividends for Michigan,” Granholm said.
The seven projects announced today:
Albemarle Corporation is proposing to invest approximately $32 million to acquire, upgrade and continue operations at the DSM Pharma Chemicals North America facility in South Haven, resulting in the creation and retention of 404 jobs including 139 directly by the company. A state Single Business Tax credit valued at more than $4.1 million over 11 years helped convince the global supplier of specialty chemicals to invest in Michigan. The city of South Haven has proposed a comprehensive incentive package to support the project. The package includes a 12-year, $193,944 tax abatement, a carry over of abatements previously awarded to DSM and a commitment to develop an alternative power generation source to reduce electric utility costs.
Alphi Manufacturing Inc. will invest $4.2 million to expand and upgrade its facility in Jonesville. The project is expected to create up to 177 new jobs, including 120 directly by the company. A Single Business Tax credit valued at $449,000 over seven years helped convince the manufacturer and supplier of metal tubular products to choose Michigan over competing sites in Indiana. The village of Jonesville has proposed a local tax abatement valued at approximately $304,000 in support of the expansion.
AVL Powertrain Engineering Inc. will invest $2.9 million in a new engineering technical center in Plymouth Township. The project is expected to create 157 new jobs, including 125 directly by the company. A Single Business Tax credit valued at more than $3.5 million helped convince the high-tech company to grow in Michigan instead of other out-of-state sites. Plymouth Township is considering a 12-year tax abatement valued at $375,154 to support the project.
SKD L.P. will invest $8.2 million in a multi-phased expansion of its Jonesville facility. The project will create up to 847 new jobs, including 400 directly by the company. A Single Business Tax credit valued at more than $3.2 million helped convince the metal stamping manufacturer to expand in Michigan over Alabama. The village of Jonesville has proposed a 12-year tax abatement valued at approximately $736,000 to support the project.
The city of Grand Rapids will utilize state and local tax capture valued at $385,000 to help make way for the redevelopment of a vacant lot at 40 and 60 South Division Avenue in the city’s Heartside Historic District, a Cool City Neighborhood designee. The $16.7-million mixed-use development will include two live/work apartments with attached studio space, 15,375 square feet of commercial space, 116 affordable housing units with supportive services for mentally and developmentally disabled residents and a parking structure. The project is expected to create 11 new jobs.
The city of Manistee will work with Seyferth Construction LLC to transform an underutilized downtown site at 86 Washington Street into a 10-unit waterfront condominium complex with an enclosed parking structure and up to five boat docks along the Manistee River channel. The developer will use state and local tax capture valued at $330,000 and invest $2.7 million in the new development.
The city of Traverse City will team with Kinney Building LLC to redevelop an underutilized downtown site located at 128 S. Union Street. The developer will use state and local tax capture valued at $333,541 and invest $7.3 million in the new development that will include a 20,640-square-foot building to house the Bank of Northern Michigan and an 11,448 square-foot commercial/office building. The project is expected to create 70 new jobs.
“Innovative economic development tools coupled with strong state and local collaboration helped secure these company expansions and redevelopment projects and the hundreds of jobs that will be created,” MEDC President and CEO James C. Epolito said.
In her 2006 State of the State address, Granholm emphasized the importance of making Michigan a global economic powerhouse in the 21st century. Since January 2005, the Governor and the MEDC have announced the creation or retention of more than 90,000 jobs as a result of targeted assistance provided by the MEDC.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information on the MEDC’s initiatives and programs, visit the Web site at www.michigan.org.
