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Projects expected to generate $54 million in investment, create 179 jobs
LANSING, Mich. – Six business expansions and a community development project that will collectively generate more than $54 million in capital investment and create 179 jobs around the state have received Michigan Strategic Fund approval for support, the Michigan Economic Development Corporation announced today.
“The successful expansion of these companies around the state reflects Michigan’s growing economy and expanding job opportunities for our state’s talented and abundant workforce,” said Jeff Mason, CEO, Michigan Economic Development Corporation, the state’s chief marketing and business attraction arm that administers programs and performs due diligence on behalf of the MSF.
“We welcome Minghua’s North American headquarters to Michigan and thank the company for its decision to locate here rather than another state. This investment further enhances our reputation as a global leader in automotive research and development.”
Minghua USA, Inc. is a subsidiary of Jiangnan MPT CO., Ltd., a manufacturer of components for the auto industry such as bumpers, plastic products and high-tech molds. The company is one of China’s largest suppliers of automotive exterior parts and systems, and supplies many OEMs such as BMW Brilliance, Beijing Benz, and Shanghai General Motors. The company plans to establish a North American headquarters in the city of Troy that will provide sales, research and development to supports its North American operations. The project is expected to generate a total capital investment of more than $8.4 million and create 50 jobs, resulting in a $500,000 Michigan Business Development Program performance-based grant. Michigan was chosen over competing sites in Ohio and South Carolina. The city of Troy is offering assistance with a job fair site and marketing.
“I am very pleased to welcome Minghua USA’s North American headquarters to Troy. Minghua USA is a leading automotive supplier poised for growth,” Mayor Dane Slater said. “With our vibrant and diverse international community and welcoming business environment, Minghua USA will find Troy to be an outstanding location for its operations.”
Cintas Corporation, founded in 1968, is a leading provider of corporate identity uniform programs, providing entrance and safety mats, restroom supplies, promotional products, first aid and fire production products, and industrial carpet and tile cleaning. The company has more than 40,000 employees at more than 500 location worldwide. The company has a facility in the Lansing area but has outgrown the space due to continued growth. Cintas plans to purchase adjacent land in Delta Township and add a new commercial/industrial cleaning facility that will also include office space. The project is expected to generate a total capital investment of $17 million and create 70 jobs, resulting in a $350,000 Michigan Business Development Program performance-based grant. Michigan was chosen over competing sites in California, Florida, New Jersey, New York, Tennessee and Wisconsin.
“Cintas is committed to taking great care of our customers and providing an excellent work environment for our employee-partners in the Lansing area,” said Thomas R. Boik, Cintas local branch manager. “We are also committed to being a good corporate citizen and providing support to the local community.”
Delta Township has offered expedited permitting in support of the project. The Lansing Economic Area Partnership (LEAP) worked closely with company executives to convince them Lansing was the ideal location for the expansion. For information on careers with Cintas, visit https://www.cintas.com/careers/.
L & P Properties, LLC plans to renovate a vacant building on S. Washington Ave. in the REO Town area of Lansing. Built in 1904, the building is the former home of Lansing Uniform and needs to be completely renovated. The renovation plans include structural, cosmetic and infrastructure improvements. The completed project will consist of commercial/retail space and loft apartments on the second floor. The project is expected to generate a total capital investment of $601,595 and create nine full-time equivalent jobs, resulting in a $92,960 Michigan Community Revitalization Program performance-based grant. The project will reactivate a prominent building in REO town, bring new vibrancy and commercial activity to the area, and serve as a catalyst for further development.
Kalkaska Screw Products, based in Kalkaska, manufactures a variety of highly-engineered machined components. The company is experiencing increased demand for its products and is investing $14.1 million in private funds to expand its operations in Kalkaska, adding seven new employees within the next six months and another 17 within the next two years. MSF is providing $2.8 million in collateral support that will serve as a critical component of the company’s overall financing package (known as gap financing).
Logiquip, LLC, established in 1992 in Galesburg (Kalamazoo County), provides inventory storage solutions and distribution systems to hospitals throughout the U.S. Logiquip’s current owner plans to sell the company and has an offer from a buyer based in Florida. In order to keep Logiquip and its 32 jobs in Michigan, Logiquip’s CEO is investing $11.6 million in private funds to purchase the company. The company also plans to hire a new employee within the next six months and another seven within the next two years. MSF is providing approximately $2.5 million in collateral support that will serve as gap financing on the buyer’s bank loan.
Pentar Stamping, Inc., based in Jackson, specializes in high-quality, cost-effective stamped products for a wide range of applications and industries. The company is experiencing increased sales and plans to invest $400,000 in private funds to purchase new stamping equipment as well as hire three full-time employees within the next six months, and an additional five within the next two years. MSF is providing $160,000 in collateral support that will serve as gap financing on the company’s bank loan.
Right Brain Beverages, L.L.C., established 10 years ago in Traverse City, is a culinary microbrewery specializing in craft beers that it sells onsite at its pub and production facility and to retail customers throughout the state of Michigan. The company is experiencing increased sales and plans to invest $1.9 million in private funds to purchase the space it is currently renting, as well as hire five full-time employees within the next six months, and an additional five within the next two years. MSF is providing $235,000 in collateral support on the company’s proposed bank loan.
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.