Tuesday, December 14, 2004
Paul Krepps, MEDC
Projects Include New High-Tech Company Headquarters, Federal-Mogul Job Protection & Expansion
Governor Jennifer M. Granholm today announced that Michigan has attracted another corporate headquarters while two companies will expand their operations and job opportunities in the state. The Governor also announced that seven former industrial sites will be turned into viable centers for commerce thanks to targeted assistance from the State of Michigan. The projects are expected to create or retain more than 9,983 jobs for Michigan workers and generate more than $272 million in private investment.
"What a great way to end the year," Granholm said. "These projects demonstrate the success of our efforts to diversify Michigan's economy, transform communities and create jobs for the 21st century."
The 10 projects are expected to create 2,229 jobs directly by the companies and developments, with an additional 7,754 indirect jobs resulting from increased economic activity associated with the company expansions, according to economic analyses provided by the University of Michigan.
"The combination of a business-friendly climate, a strategy for job growth and targeted assistance has enabled us to encourage a large number of significant expansions and developments this year," MEDC President and CEO Don Jakeway said. "In an era of intense global competition, it is very encouraging to be able to work with our communities and economic development partners to help companies grow here in Michigan."
Company Expansions and New Headquarters Announced Today:
Affinia Group Inc., Pittsfield Township: The Ohio-based auto supplier will locate its new headquarters in Pittsfield Township near Ann Arbor, creating145 new jobs including 100 directly by the company. An SBT credit valued at more than $1.7 million helped convince Affinia to locate and grow in Michigan over a competing site in Ohio. The company is expected to invest approximately $4.3 million in the project over the next five years. Affinia currently employs eight workers in Michigan.
Federal-Mogul, Greenville and St. Johns: An SBT credit valued at more than $65.4 million helped convince the Michigan-based global auto supplier to retain a total of 9,544 jobs in Michigan including 1,866 directly by the company to remain in Greenville and St. Johns instead of moving production to plants outside of Michigan including Mexico. The company is expected to invest approximately $6 million in the expansion. The city of Greenville will support the project with an abatement of the company's new real and personal property taxes for 12 years valued at $140,000. The city of St. Johns will also provide a local abatement valued at an estimated $186,000 over six years.
Patriot Antenna Systems Incorporated, Albion: This global leader in high-tech satellite network products will expand its Albion headquarters, creating 56 new jobs. A $431,000 SBT credit helped convince the company to make the $3.5 million investment in Albion instead of a competing location in Arizona. The company currently employs 90 workers in Michigan, and uses patented technology with commercial and military applications. Sheridan Township has approved a local tax abatement valued at $133,000 over six years to support the project.
Benton Harbor: State and local brownfield tax capture valued at $1.8 million will help raise the height of a Benton Harbor bridge, a move that paves the way for the former Performance Auto manufacturing site and other properties on the Paw Paw River to be redeveloped. The former manufacturing site is located near the intersection of West Main Street and Riverview Drive. The Whirlpool Corporation is partnering with the city of Benton Harbor, local economic development organization Cornerstone Alliance and developers on strategies to enhance the economic potential of the entire region.
Detroit: River Park Village Senior Apartments LDHA LP will invest $29.8 million to create a second redevelopment project on the Whittier Hotel site using an SBT credit valued at nearly $3 million. Two eight-story towers on the northern half of the hotel complex will be renovated to accommodate 140 senior apartments. The existing parking lot will be redeveloped into 60 loft-style residential units with an additional 25,000 square feet of retail space. An existing parking structure will be demolished and a new one built in its place. The riverfront site is located next to Erma Henderson Park and Marina. The project is expected to create 40 new jobs.
Detroit: 8344 East Jefferson LLC will utilize an SBT credit valued at more than $2.6 million to help redevelop long-vacant property located at 8344 East Jefferson Avenue. The developer will invest $27 million to construct a 96-unit market-rate, for-sale residential community of multiple four- and five-story buildings which will include decked parking, retail and restaurant space.
Norton Shores: Eastowne One LLC, Eastowne Two LLC and Eastown Three LLC will redevelop a former 17-acre landfill and retail site near the intersection of Seaway Drive and Seminole Road south of Muskegon. The project will include a restaurant, office space and unique live/work, residential/professional office units to accommodate medical professionals. The MEDC approved a total of $4.1 million in Single Business Tax credits for three interrelated projects on the site, which together are expected to create 96 jobs and generate $41.3 million in private investment.
Taylor: MJC Carrington Village LLC will redevelop a 123-acre former landfill located between Pennsylvania and Telegraph Roads into 142 residential lots, 198 unit 12-plex buildings and a 140-unit duplex. The $80 million project will utilize brownfield state tax capture valued at $598,000 to help prepare the property for redevelopment. The project is expected to create two new jobs.
In her 2004 State of the State address, Governor Granholm announced her plan to make Michigan a global economic powerhouse in the 21st century. So far this year, the Governor and the MEDC have announced the creation or retention of approximately 53,857 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.