©2016 Michigan Economic Development Corporation

Governor Announces Over 9,400 Michigan Jobs Companies Investing more than $658 Million to Grow in State

Tuesday, August 19, 2008

Bridget Beckman, MEDC
(517) 335-4590beckmanb1@michigan.org

LANSING– Governor Jennifer M. Granholm today announced that the Michigan Economic Development Corporation (MEDC) is helping 15 companies grow in Michigan, creating and retaining 9,495 new jobs and generating over $658 million in new investment in the state. In addition, the MEDC is backing five brownfield redevelopment projects.  

"These investments are great news for communities and job-seekers throughout our state,” Granholm said. “Our strong business climate and outstanding workforce are attracting the kinds of companies that are helping to diversify our economy, and we will continue to go anywhere and do anything to bring new jobs like these to Michigan.” 

The 20 projects announced today are: 

  • Kelly Services Inc.  – The second largest staffing company in the U.S. and fourth largest in the world plans to invest $7.8 million to consolidate several business units into a central location in Troy. The company is also launching a new staffing solution to allow employees to work from home. Combined,the projects are expected to create 572 new jobs at the company over the next seven years. The MEDC estimates that increased economic activity created by the projects will create an additional 243 indirect jobs. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority (MEGA) approved a state tax credit valued at $4.7 million over seven years to win the company’s investment over competing sites in other states. The city of Troy has proposed a combination of services worth $20,000 to support the company’s growth.   
  • Testek Inc.  – The designer and builder of custom and production test equipment for the aerospace, automotive, and industrial markets is planning to invest $5.2 million to relocate from Livonia to a larger facility in LyonTownship. The project is expected to create 160 new jobs, including 27 at the company. The MEDC estimates that increased economic activity created by the expansion will generate an additional 133 indirect jobs. Based on the MEDC’srecommendation, the MEGA board approved a state tax credit valued at $452,000 over 10 years to win the project over competing sites in other states. Lyon Township is considering a local tax abatement to support the project.     
  • Genzink Steel Supply and Welding Company  The full-service provider of products and services serving local, national and international customers in industries such as mining, alternative energy, gas/oil exploration, rail maintenance, defense and specialty machine building plans to invest $7.9 million in a two-phase expansion at its operations in Holland. The project is expected to create 193 new jobs, including 104 directly by the company. An economic analysis conducted by the MEDC estimates the project will generate an additional 89 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $1.1 million over seven years to help convince the company to invest in Michigan over a competing site in Texas. In addition, the MEDC has approved up to $150,000 in economic development job training funds. The city of Holland is considering abatements worth an estimated $1.08 million to support the expansion. 
  • Request Foods Inc. –The co-packer of custom entrees, side dishes and specialty items plans to invest $26.1 million to expand its facility in HollandTwp.  The project is expected to create 437 new jobs, including up to 202 jobs directly by the company. An economic analysis conducted by the MEDC estimates the project will generate an additional 235 indirect jobs.Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $2.5 million over 10 years to help win the project over competing national sites.HollandTownshipis considering a local tax abatement and additional infrastructure assistance in support of the project. 
  • LeanLogistics Inc.  Theleading provider of Web-native Transportation Management Systems and Serviceswas purchased by Australian-based Brambles in March 2008 and operates as a division of Orlando-based CHEP USA (a Brambles company). By leveraging preferred access to CHEP’s customer base, LeanLogistics’ pipeline growth and new customer acquisition occurs at a rate impossible individually. Nearly $14 million in capital investmentsallows LeanLogistics to develop the next-generation of products and services that capitalize on the network capabilities of the Internet, leverage its unique network size and capabilities, and expand to global operations.LeanLogistics will move its operations from Holland to Zeeland and expects to create 1,141 new Michigan Jobs, including 581 directly by the company.An economic analysis conducted by the MEDC estimates LeanLogistics’ growth will generate an additional 560 indirect jobs.Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at$11.8 million to win the project over a competing site in Florida. The city of Zeeland is considering a 12-year abatement to support the project.   
  • Ricardo Inc.  The eco-innovation technology company and a leading independent provider of technology, product innovation, engineering solutionsand strategic consulting to the world's automotive, transport and new energy industries with a skill base representing the state-of-the-art in low emissions and fuel-efficient powertrain technology, is planning to invest $12.3 million to establish a rolling chassis dynamometer facility at its site in Van Buren Township. The project is expected to create 106 new jobs, including 45 directly by the company. An economic analysis conducted by the MEDC estimates the project will generate an additional 61 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $2.2 million over 13 years to help convince the company to invest in Michigan over a competing site in Germany. Van Buren Township is considering an abatement worth approximately $182,400 to support the project. This is the company’s second MEGA credit in five months. Last March, the company was approved for a credit valued at $991,000 over 10 years to support the establishment of a battery systems development center for hybrid and electric vehicle battery pack development. 
  • Danotek Motion Technologies LLC –Thetechnology developer and manufacturer of permanent magnet generators, power controlelectronics and brushless motors for power generation industries and advance automotive applications plans to expand its operation and relocate to PlymouthTownship. The new expanded facility would accommodate the manufacture of up to 3 Mega Watt variable speed PM generators for use with wind turbines. The project is expected to create 353 new jobs, including 141 directly by the company. An economic analysis conducted by the MEDC estimates the project will generate an additional 212 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $2.5 million over 10 yearsto help convince the company to invest in Michigan over a competing site in Indiana. Plymouth Township is considering a local tax abatement to support the project.   
  • Aisin Technical Center of America, Inc. (ATC-A) –The Aisin Group, the sixth largest automotive supplier in the world, is considering expanding its PlymouthTownship technical center. Pending company approval, the proposed $8.6-million project could create up to 301 new jobs, including 82 at the company.An economic analysis conducted by the MEDC estimates the project has the potential to generate an additional 219 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $1.3 million over seven years to help convince the company to invest in Michigan over competing sites in other states. Plymouth Township is considering a local abatement to support the project.  
  • Business Intelligence Associates Inc. – the New-York-based company that helps organizations manage the collection, transfer and preservation of digital evidence and data, plans to launch new operations in Kalamazoo. The company plans to invest approximately $8 million in the project that is expected to create up to 599 Michigan jobs, including 251 directly by the company, specifically including the hiring of attorneys and paralegals.An economic analysis conducted by the MEDC estimates the project has the potential to generate an additional 348 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $2.7 million over seven years to help convince the company to invest in Michigan over competing sites inNew York, California, Washington and Missouri. To support the project, the city of Kalamazoo will provide assistance with recruitment, job placement and job training. 
  • Precision Aerospace Corp.– The Grand Rapids-based aerospace and defense manufacturer is launching a $10.1-million expansion project at its operations in Grand Rapids and Wyoming. The project is expected to create 190 new jobs at the company and an additional 159 spin-off jobs over the next 10 years. Assistance provided by Michigan Economic Development Corporation (MEDC) helped PAC secure new a contract from its largest customer against competing bids from other companies. Based on the MEDC’s recommendation, the MEGA Board today approved a state tax credit valued at $2.5 million over 10 years to secure the company’s investment. To support the expansion, the cities of Grand Rapids and Wyoming have proposed 12-year abatements to support the project. 
  • Terumo Cardiovascular Systems  – The subsidiary of Tokyo-based Terumo Corporation manufactures and markets products forcardiac and vascular surgery to hospitals worldwide. Terumo CVS will invest $3.57 million in relocation and expansion of its research and development and manufacturing operations from Tustin, California to Ann Arbor (ScioTownship). The project adding 14,000 square feet and a new chemistry lab is expected to create 157 new jobs, including 65 directly by the company. An economic analysis conducted by the MEDC estimates that the project will generate an additional 92 indirect jobs. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority (MEGA) board today approved a state tax credit valued at $855,000 over seven years to win the project over an alternate company site in Maryland. Scio Township anticipates approval of an eight-year tax abatement to support the project.
  • GDI Infotech Inc.  – The Ann Arbor-based Information Integration services and solutions firm has launched a new solutions division. This division is offering new solutions and products for breaking down information silos, building Solid Data Foundation and providing Business Intelligence reports. The project is expected to create 233 new jobs, including 121 directly by GDI. An economic analysis conducted by the MEDC estimates the project will create 112 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $1.5 million over seven years to win the project over a competing site in North Carolina. The city of Ann Arbor anticipates approvalof a property tax abatement in support of the project.  
  • Ameriwood Industries –The ready-to-assemble (RTA) furniture manufacturer plans to increase operations at its plant in Dowagiac that were suspended in July 2007. With assistance offered through the Michigan Economic Development Corporation (MEDC), the company plans to invest approximately $3.45 million in the project expected to create up to 182 Michigan jobs, including 100 directly by the company. An economic analysis conducted by the MEDC estimates that increased economic activity created by the new facility will create 82 indirect Michigan jobs, in addition to the 100 created directly by the company. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $695,000 over seven years to win the company’s expansion. Sites in Ohio and Ontario, Canada were also considered for the project. The city of Dowagiac anticipates approval of a 12-year tax abatement to support the project.  
  • Wolverine World Wide Inc.  The company will produce combat boots for the U.S. Marine Corps at its facility in Big Rapids. The footwear manufacturer won the military contract in competition with companies in Georgia, Illinois, North Carolina, Ohio and Oregon. Over the next several years, Wolverine plans an expansion which is expected to create additional Michigan jobs, 115 direct employment at the company, and 97 additional job opportunities with material suppliers and service providers. Based on the MEDC’s recommendation, the MEGA board today approved a defense contract state tax credit valued at $693,000 over seven years to support the project. In addition, the MEDC will provide $100,000 in Economic Development Job Training funds.
  • Eberspaecher North America - A state brownfield tax credit valued at $7.4 million will support the expansion of the company’s manufacturing facility in Brighton.The $59.8-million project willcreate105 new jobs and retain 171 jobsat the company.GovernorGranholm met with Eberspaecher Group CEO Gunter Baumann at the parent company’s headquarters in Esslinger in 2004 during her five-day investment mission to Germany to help convince German companies to invest and create new jobs in Michigan. At that time, the company announced plans to proceed with Phase 2 of its manufacturing facility in Brighton. 
  • The OrchardPark in Wyoming (Kent County) anchored by a Cabela’s outdoor store will be supported by $39.2 million in local and school tax capture approved for developer Walker Orchard Land Partners LLC. The site is a former apple orchard at I-96 and Walker Avenue NW. Upon completion, the $400-million, two-phase project starting with construction of a 125,000-square feet Cabela’s store will comprise 1.4 million square feet of retail and 77,600 square feet of restaurant space, 135,000 square of office space, 325 apartments, 114 town homes and condos, a 150-room hotel and water park/resort hotel with 160 rooms. Creation of 3,668 jobs is anticipated.
  • In Dearborn, developer REDICO Holdings LLCwill use a state brownfield tax credit valued at $9.6 million and state and local tax capture totaling $14.2 millionfor redevelopment of the Montgomery Ward Store at the corner of Michigan Avenue and Schaefer Road in East Dearborn. The three-story former department store, vacant since 2001, will be demolished and replaced by a mixed-use development including three new structures totaling 275,000 square feet with a medical office building, a retail/office building, 96 senior apartments and a six-level parking deck. The $68 million project is expected to create 206 new jobs.
  • State tax capture valued at $185,264 combined with a local OPRA (Obsolete Properties Rehabilitation Act) tax abatement will assist with the historic Thompson Block redevelopment in Ypsilanti. The project has support from both the city of Ypsilanti and the Washtenaw County Brownfield Redevelopment Authority. The $4 million renovation of a three-story building will consist of a mix of commercial and retail space and 16 and is expectedto support creation of 100 new jobs. Maintenance of the historic architecture and design of the 34,000-square-foot structure, vacant for more than 20 years, is another step forward in the revival of the historic depot town area of the city.
  • The city of Lansing Brownfield Redevelopment Authority will use $392,922 in state and local tax capture to demolish and redevelop the former Regent Inn hotel on South Pennsylvania Avenue in Lansing.   Demolition of existing structures consisting of 35,000 square feet will make way for constructionof a 5,000-square-foot office which will be used to relocate the nearby NuUnion Credit Union branch office. The $3.4 million project will create five new jobs.  
  • State and local tax capture valued at $255,750 will be used by developer Chemical Bank to support demolition of a vacant structure in downtown Cadillac (Wexford County) and construction of a new 5,000-square-foot building for retail and commercial banking operations. The $1.2 million project located on the former YMCA, Harris Milling and Brasseur sites is expected to create two new jobs.     

“Today’s great news is the result of solid teamwork between the state and our local economic development partners throughout Michiganto win these projects against intense competition from other states and countries,” MEDC President and CEO James C. Epolito said.

In her 2008 State of the State address, Granholm emphasized the importance of creating opportunity in the changing world of the 21st century. Since January 2005, the Governor and the MEDC have announced the creation or retention of more than 257,000 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.MichiganBusiness.org.   


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