Tuesday, August 17, 2004
Paul Krepps, MEDC
State Assistance Spurs Company Expansions, Brownfield Clean Up
Governor Jennifer M. Granholm today announced six major economic development projects that are expected to create 1,413 Michigan jobs as a result of assistance offered by the Michigan Economic Development Corporation (MEDC).
A total of $11.8 million in state economic development incentives will facilitate two major company expansions and four brownfield redevelopment projects.
"Our arsenal of flexible, innovative economic development tools has made Michigan one of the most business-friendly states in the nation," said Granholm. "These projects are just a few recent examples pointing to a brighter economic horizon for Michigan."
Alphi Manufacturing Inc., Jonesville: The automotive tubular product manufacturer will invest $6 million to expand its existing facility in Jonesville. A Single Business Tax (SBT) credit valued at $553,000 convinced the company to choose Michigan over a competing site in Indiana. The project will create 88 new jobs, including 80 manufacturing-related jobs directly by the company. Alphi currently employs 101 people at its Jonesville headquarters.
Steelcase Inc., Grand Rapids: The global leader in the office furniture industry will consolidate two of its out-of-state wood plant operations to an existing facility in Grand Rapids. An SBT credit valued at more than $2.4 million convinced the company to locate the project in Michigan instead of Mexico. The project is expected to create a total of 700 jobs, including 350 directly by Steelcase.
HP3 LLC, Grand Rapids: The company plans to utilize a brownfield Single Business Tax (SBT) credit valued at more than $5.9 million to help redevelop contaminated property near the corner of Pearl Street and Campau Avenue. The developer plans to construct a 300-400 room hotel complex on the site that will support Grand Rapids' new DeVos Place Convention Center. The project is expected to create 250 jobs and generate more than $59.3 million in private investment.
Lakeside Development Company, Cadillac: The city will utilize state and local tax capture valued at $373,300 to help finance the clean up of contaminated property to accommodate a 20-unit condominium development. Located directly across the street from Lake Cadillac, the redevelopment is expected to generate more than $6.2 million in private investment.
Mid Towne Village, Grand Rapids: This project involves the use of a brownfield SBT credit valued at up to $2 million to transform a six-acre pocket of blighted housing into a mixed-use development of commercial, office, residential and parking space. The project is expected to generate $39 million in private investment and create 350 new jobs.
Peninsular Park, Ypsilanti: Edwards Communities Development Company will use state and local tax capture valued at $583,000 to redevelop the former 7.8-acre site of the Crown Paper Company into 186 multi-level apartment units. The development will also include 402 parking spaces to accommodate the residents. The redevelopment is expected to create 25 jobs and spur more than $15 million in private investment.
"These projects will create jobs and attract new investment and opportunity in communities around the state," said MEDC President and CEO Don Jakeway. "Their diversity and number indicates the flexibility and effectiveness of the economic development tools we are using to be competitive in a global market for investment and jobs."
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.