The Michigan Economic Development Corporation today announced Michigan Strategic Fund approval of Michigan Business Development and Community Revitalization program incentives to four companies planning expansions in the state.
LANSING – The Michigan Economic Development Corporation today announced Michigan Strategic Fund approval of Michigan Business Development and Community Revitalization program incentives to four companies planning expansions in the state. The projects are expected to generate up to $44.7 million in investments and add 223 new jobs in Michigan.
“These four companies are demonstrating that Michigan can compete with any state in the country as a great place to grow a business,” said MEDC President and CEO Michael A. Finney. “This new investment in our state will strengthen our communities and fuel new opportunities for our talented workforce.”
The projects approved today:
Bleistahl North America LP, a subsidiary of Bleistahl Ltd., was formed in 2001 to spearhead sales of valve train components to the automotive industry in the North American market. Bleistahl North America LP plans to centralize its production in North America by opening a manufacturing facility in the City ofBattle Creek. The company plans to invest $11.5 million and create 58 new jobs, resulting in a $475,000 Michigan Business Development performance-based grant. The City of Battle Creek is offering 12-year property tax abatements valued at $532,000.
A $1,000,000 Community Revitalization Program performance-based grant has been awarded to Gulf Shore Investments, L.L.C. for the new construction of Mill End Lofts on the site of the former Mill End structure in downtown Bay City. The new development, a three-story mixed-use building consisting of restaurant and retail space along with residential units, will complement the historic nature of Bay City’s downtown district. The project is expected to generate a total capital investment of up to $7.7 million and create 30 full-time jobs. The City of Bay City has offered a Commercial Rehabilitation tax abatement valued at $1.6 million.
Kay Manufacturing Company, based in Calumet City, Ill., provides value added precision machining services of forged material to domestic automotive subassemblies on a production basis. The company plans to expand into a 120,000 square foot facility in St. Joseph Charter Township, creating 80 jobs and investing $9.3 million. As a result of the expansion, Kay Manufacturing has been awarded a $350,000 Michigan Business Development Program incentive. In addition, St. Joseph Township is expected to approve a 12-year tax abatement valued at $321,000.
Rassini Brakes, LLC, headquartered in Mexico, is the largest fully integrate supplier of rotor components in North America. Rassini plans to open a new facility in Mt. Morris Charter Township for machining automotive products for delivery to OEM assembly plants in the Midwest. The company will invest up to $17.3 million and create 55 new jobs, resulting in a $500,000 Michigan Development performance-based grant. Michigan was chosen over a competing site in Ohio. Mt. Morris Township expects to offer support to the project.
Signed into law by Governor Rick Snyder in December of 2011, the Michigan Business Development Program provides grants, loans and other economic assistance to qualified businesses that make investments or create jobs in Michigan, with preference given to businesses that need additional assistance for deal-closing and for second stage gap financing.
The MSF will consider a number of factors in making these awards, including: out-of-state competition, private investment in the project, business diversification opportunities, near-term job creation, wage and benefit levels of the new jobs, and net-positive return to the state. Business retention and retail projects are not eligible for consideration of these incentives.
The Michigan Community Revitalization Program provides grants, loans, or other economic assistance of up to $10 million to projects that will revitalize regional urban areas, act as a catalyst for additional investment in a community, reuse vacant or historic buildings and promote mixed use and sustainable development.
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.