August 15, 2006
August 15, 2006
Projects Expected to Create and Retain 2,418 Jobs
Governor Jennifer M. Granholm today announced that the Michigan Economic Development Corporation is helping three companies expand their operations and is backing five brownfield redevelopment projects expected to create and retain a total 2,418 jobs and involve $259 million in private investment in communities throughout Michigan.
“Our Jobs Today, Jobs Tomorrow economic plan is paying dividends,” Granholm said. “These company expansions and redevelopment projects, and the more than 2,400 jobs they will create or retain are a testament that our plan is working.”
The eight projects announced today:
• Cadillac Rubber & Plastics Inc. will invest $7.6 million to upgrade its manufacturing facilities in Cadillac and Manton. The project will result in the retention of 1,122 Michigan jobs, including 565 directly by the company. A state Single Business Tax credit worth more than $5.3 million over seven years helped convince the company to choose Michigan over a competing site in Mexico. To support the project, the cities of Cadillac and Manton are considering 12-year tax abatements valued at $62,000 and $46,000, respectively.
• Gestamp US HardTech Inc. will invest $74 million to expand its operations in Mason, including the manufacture of a new line of safety projects. The project is expected to create 348 new jobs, including 150 directly by the company. A Single Business Tax credit worth $2.5 million helped convince the manufacturer to grow in Michigan instead of a competing site in Alabama. The city of Mason is considering a 12-year tax abatement valued at $7.8 million to support the project.
• Martinrea Industries Inc. plans to consolidate its operations in Dexter and Ontario to a new facility in Manchester, resulting in the creation of 429 new jobs, including 197 directly by the company. Martinrea will invest $8.3 million to upgrade and equip the new facility. A Single Business Tax credit worth more than $2.6 million over 11 years helped convince the company to consolidate in Michigan over competing national and international sites. The village of Manchester is considering a 12-year tax abatement valued at $983,000 to support the project.
• MCP Development LLC will use a $6.8 million brownfield Single Business Tax credit to restore the historic Fort Shelby Hotel designed by notable architect Albert Kahn on West Lafayette near the Central Business District. The first phase entails redevelopment of the first 10 floors as a Doubletree Guest Suites Hotel with 204 rooms and a 38,000-square-foot state-of-the-art managed Conference Center concentrating on groups of 5 to 75 attendees. In the second phase, floors 11 through 21 will be renovated into 63 luxury apartments. The developer will invest more than $68.9 million in the project, which is expected to create 374 new jobs.
• Motown Construction Partners LP will use a $3.9 million brownfield Single Business Tax credit to redevelop the historic Broderick Tower on Woodward Avenue at Grand Circus Park in Detroit. An adjacent one-story building will be connected to the 35-story skyscraper, creating first-floor dining and retail space. The tower’s second, third and fourth floors will be converted for commercial use while floors five through 34 will be made into apartments. The project will create 95 new jobs with private investment of more than $39.8 million.
• Southshore Development LLC will invest about $50 million to turn a former leather tannery on the shore of White Lake in Whitehall into a residential development with restaurant and marina. The development is taking shape with the help of a $3.5 million in brownfield Single Business Tax credit.
• The city of Dowagiac will support Pegasus Holdings and Land Development LLC’s redevelopment of the former Dowagiac Middle School property at 520 Main Street into a two-story medical arts building and a three-story, 54-unit senior living facility with congregate care accommodation and underground parking. The project will include $5.6 million in private investment and result in 10 new jobs.
• The city of Ferndale will team with Singer-Wolfson Development Corporation to transform the former Stop and Go automobile service garage on East Nine Mile Road near Woodward Avenue into mixed-use retail space, loft condos and parking. State and local tax capture valued at $141,291 will support the project, which is expected to generate $5.1 million in private investment and create 40 new jobs.
“Michigan has seen a flurry of company expansions, new investment and new jobs in the past several months thanks to our innovative economic development programs and a tremendous partnership with local communities throughout the state,” 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 148,000 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.
