Governor Granholm today announced that the MEDC is helping nine companies grow in communities throughout the state
LANSING– Governor Jennifer M. Granholm today announced that the Michigan Economic Development Corporation (MEDC) is helping nine companies grow in communities throughout the state. In addition, the MEDC and Michigan State Housing Development Authority (MSHDA) are backing two redevelopment projects; combined the projects are expected to create and retain 3,901 jobs and generate $179.1 million in new investment in the state.
“Our aggressive economic strategyis generating great results for communities and job-seekers throughout our state, and we will continue to go anywhere and do anything to bring new jobs to Michigan,” Granholm said. “Companies in every industry, from automotive to medical devices, are choosing to invest in Michigan because of our competitive business climate, world-class workforce, and our outstanding quality of life.”
The11 projects announced today:
Azentek LLC – Organized in 2006, the designer and developer of in-vehicle infotainment systems located in Grand Blanc Twp. (Genesee County) will invest $3 million to consolidate current operations and expand in Grand Blanc, creating 198 new jobs including 78 directly by the company. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority today approved a state tax credit valued at $1.5 million over 10 years to win the project over a competing site in China. Grand Blanc Township is considering a six-year abatement valued at $36,065 to support the project.
Orchid Unique Orthopedic Solutions– This single-source manufacturer of surgical cutting accessories, instruments and implants will invest $3.5 million to consolidate operations and expand its facility in Bridgeport Township (Saginaw County), creating 142 jobs, including 60 directly by the company. Orchid Orthopedic Solutions, founded in 2005, has 632 employees statewide, including 320 in Bridgeport. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority today approved a state tax credit valued at $763,000 over seven years to win the project over competing sites in Tennessee and California. Bridgeport Townshipis considering a 12-year abatement worth $183,258 to support the project.
Venchurs Inc., a broad-based supply chain management and third party packaging and logistical services provider to the automotive and construction-agriculture industries, will invest $21 million to expand its operations in Adrian. Through the assistance of an $8 million incentive package, the project is expected to create up to 106 new jobs directly by the company including 50 by the end of 2010. The MEDC estimates an additional 46 spin off jobs will be generated by the project. Based on the MEDC’s recommendation, the Michigan EconomicGrowth Authority approved a state tax credit valued at $986,000 over seven years which allowed the company to choose Michigan over a competing site in Indiana. The city of Adrian is considering a 12-year abatement worth $3 million to support the project. In addition, South Central Michigan Works! will work with the company to identify available job training resources.
Production Engineering Inc. – The manufacturer of precision machined components for wheel end, steering and drive train applications for specialty truck and constructionequipment axles, will invest over $11 million to relocate to the 440,000-square-foot former Goodyear warehouse in Jackson. The company will revamp the building, including new electrical service enhancements, compressed air systems, lighting, water system, overhead cranes, offices and manufacturing support facilities. The project will create and retain 436 jobs, including 122 new jobs at the company and 112 retained. The MEDC estimates the project will generate an additional 202 indirect jobs. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority approved a state tax credit valued at $3.4 million over 10 years to win the project over a competing site in Indiana. To support the project, the city of Jackson has proposed a 20-year abatement and Renaissance Zone designation for a combined value of over $3.4 million.
MAHLE Industries Incorporated– The subsidiary of MAHLE GmbH, a leading global manufacturer of components for the automotive and heavy duty engine industry, will invest $27.6 million in an initial 45,000-square-foot expansion in Farmington Hills. The investment will occur in two phases. Governor Granholm met with company officials in Stuttgart during her first investment mission to Germany in 2004 to encourage MAHLE to invest and growin Michigan. The project is expected to create 324 new jobs, including 155 directly by the company. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority approved a state tax credit valued at $2.5 million over seven years to win the expansion over a competing site in Tennessee. The city of Farmington Hills has approved local property tax abatements to support the project.
Rayconnect Inc.– The wholly owned subsidiary of A. Raymond Inc. will invest $14.5 million in a new plastics injection molding and assembly/headquarters facility in Rochester Hills. The company designs, develops, manufactures and sells fluid handling products for theautomotive, commercial and construction equipment markets. The project will retain 360 Michigan jobs, including 148 jobs at Rayconnect and A. Raymond¯60 at Rayconnect and 88 at A. Raymond. The MEDC estimates that increased economic activity created by the project would save an additional 212 indirect Michigan jobs. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority approved a state tax credit valued at $2.5 million over seven years to win the company’s expansion over a competing site in South Carolina. In addition, the MEDC will provide up to $120,000 in job training assistance through the Economic Development Job Training program. The city of Rochester Hills will consider a 12-year abatement worth $862,000 to support the project.
Brembo North America– The braking systems supplier will consolidate its corporate and technical groups from Northville, FarmingtonHills and Costa Mesa, Calif. at a new headquarters to be built in Novi instead of competing out-of-state sites. The subsidiary of Bergamo, Italy-based Brembo S.p.A. will also expand capacity at its manufacturing facility in Homer (Calhoun County). The combined project is expected to retain and create 325 jobs directly by the company for a total of 1,049 Michigan jobs retained and created. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority today approved state tax credits valued at $3.5 million over 10 years to convince the company to expand in Michigan. In addition, The MEDC will provide job-training assistance of up to $500,000 through the Economic Development Job Training program. To support the project, the city of Novi is considering a reduction/reimbursement of permitting fees and an expedited approval process.Albion Township has approved a 12-year abatement estimated at $1.8 million.
MAHLE Engine Components USA Inc.–The member of the Germany-based MAHLEGmbH group of businesseswill invest $18.2 million in a 30,000-square-foot expansionof its piston ring manufacturing plant in St. Johns. Governor Granholm met with company officials in Stuttgart during her first investment mission to Germany in 2004 to encourage MAHLE to invest and grow in Michigan. The expansion is expected to create 534 new Michigan jobs, including up to 150 directly by the company. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority board today approved a state valued at $2.2 million over 12 years to win the company’s expansion. In addition, the MEDC will make available up to $100,000 in job training funds through the Economic Development Job Training program. The MEDC will also consider providing support for infrastructure improvements. The city of St. Johns has approved three abatements worth $26.1 million to support the project.
Priceline.com Inc.- Based on the MEDC’s recommendation, the Michigan Economic Growth Authority board today approved a state tax credit valued at $3.9 million over seven years to encourage the online travel company to launch a new facility under consideration in Wyoming. In addition, the MEDC has offered up to $200,000 in job training assistance through the Economic Development Job Training program. To support the project, the city of Wyoming has approved a seven-year abatement worth $1.1 million. The project, pending company approval, is expected to generate $7.7 million in new capital investment and create 610 new jobs, including 424 directly by the company.
City of Muskegon- State and local tax capture valued at $1.3 million will support environmental clean up and redevelopment of 19 acres on the east and west sides of Henry Street in Muskegon by Betten Automotive Group to make way for rehab or creation of nearly 113,000 square feet of commercial space. An existing building on a nine-acre site on the east side will be renovated and expanded from 30,000 square feet to 68,000 square feet. On the remaining acreage on the west side, construction of two new auto dealership stores will replacethe current used car sales office. The project will feature sustainable development elements including LEED (Leadership in Energy and Environmental Design) standards, improved storm water management and pedestrian-friendly streetscape. The $15 million project is expected to create 36 new jobs.
City of Detroit– Developer Grand River and Six Mile LLC will use $631,600 in local and school capture and private investment of $5.5 million to redevelop the former Detroit Police 8th precinct station across from Redford High School. Two structures will be built on the site comprising 23,800 square feet of retail and commercial space. The project will lead to creation of 60 full-time jobs.
“All of these projects are the result of successful state and local collaborationand teamwork with our economic development partners around the state to bring these projects to Michigan against some very intense national and international competition,” MEDC President and CEO James C. Epolito said.
In her 2008 State of the State address, Granholm emphasized the importance of creating opportunityin the changing world of the 21st century. Since January 2005, the Governor and the MEDC have announced the creation or retention of more than 241,000 jobs as a result of targeted assistance provided by the MEDC.
About Michigan Economic Development Corporation (MEDC)
The Michigan Economic Development Corporation is the state’s marketing arm and lead advocate for business development, job awareness and community development with the focus on growing Michigan’s economy. For more information on the MEDC and our initiatives, visit www.MichiganBusiness.org. For Pure Michigan® tourism information, your trip begins at www.michigan.org. Join the conversation on: Facebook Instagram LinkedIn, and Twitter.