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Business Collaboration in West Michigan

News and Success Stories

Food Industry Feeds Economic Growth in West Michigan

Grand Rapids, MI (April 19, 2011) – The Right Place, in collaboration with the Michigan Economic Development Corporation (MEDC) and local partners, announced today two new West Michigan business expansions that are designed to create 429 new jobs and invest $74 million in the cities of Wyoming, Kentwood and Grand Rapids.

Hearthside Food Solutions, LLC – 302 jobs, $17.4 million in capital investment

Hearthside, the largest privately held bakery in the U.S., plans to expand its facilities in the cities of Kentwood and Grand Rapids to support customer demand for additional food manufacturing capacity of granola bars and other baked snacks. The majority of the investment and job creation will occur at the company’s Shaffer Avenue facility in Kentwood. The $17.4 million expansion project is planned to create 195 jobs the first year, with a 5-year total of 302 new jobs in West Michigan.

Hearthside provides contract food manufacturing services to leading global food brands and is the largest producer of breakfast bars in the United States. The company operates 12 manufacturing plants in seven states.

The company considered several other existing locations outside of Michigan for the expansion project. Working with the MEDC and cities of Grand Rapids and Kentwood, The Right Place led the development of an incentive package to support Hearthside’s growth plans, keeping the company and the new jobs in West Michigan.

“West Michigan’s food processing and agribusiness cluster has great potential for growth in West Michigan,” noted Susan Jackson, Vice President, Business Development, The Right Place, Inc. “We’re seeing continued growth and investment in the sector such as this latest expansion announcement.”

The cities of Kentwood and Grand Rapids are supportive of the expansion project and anticipate approval of real and personal property tax abatements.

Gordon Food Service, Inc. (GFS) – 127 jobs, $56.5 million in capital investment

In June 2010, The Right Place and the MEDC announced a Michigan Economic Growth Authority (MEGA) tax credit for a Canadian back-office support consolidation project in the city of Wyoming. The scope of the initial project was recently modified to include the addition of 127 new high-tech jobs. Additionally, due to space limitations, GFS plans to change the project location and invest $56.5 million in the development of a Greenfield site in the city of Wyoming. The company plans to forgo Brownfield MBT credits approved for the original site in August 2010.

GFS is North America’s largest family-owned broadline food service distributor. The company provides food service products and solutions to businesses and retails customers in eight states and throughout Canada. Headquartered in Wyoming, Michigan, GFS has remained an innovative leader in the food service industry for over 100 years.

“GFS has been a core component of our economy for over 100 years,” said Jackson. “Their continued commitment to the region in both jobs and investment is why we are dedicated to seeing that companies like GFS grow here in West Michigan.”

The city of Wyoming is supportive of the project and anticipates approval of a 12-year real and personal property tax abatement.

The Right Place Supports Local Growth, Brings 152 New Jobs to Region

Grand Rapids, MI (March 15, 2011) – The Right Place, in collaboration with The Michigan Economic Development Corporation (MEDC) and the City of Grand Rapids, announced today the planned expansions of two West Michigan companies that are expected to create 152 new jobs and invest $2.2 million within Grand Rapids.

Atomic Object – 30 jobs, $983,000 in capital investment

Atomic Object LLC, one of West Michigan’s largest software development firms, is expanding its operations in Grand Rapids, investing $983,000 and creating 30 jobs.

Founded in 2001, Atomic Object has designed software solutions for companies in the aerospace, automotive testing, color management, distribution, material handling, manufacturing and financial services industries. Its products have included programming and design for web-based, mobile, desktop and embedded applications.

Company founders Carl Erickson and Bill Bereza moved into the company’s current facility at 941 Wealthy St. SE in 2003, redeveloping the former Helmus Brothers building into offices, meeting rooms and shared space for its employees. Averaging 25 percent annual growth since, Atomic has become a principal software development firm in West Michigan. Earlier this year, it launched Atomic Object Embedded, a new service specializing in designing and creating customized embedded technology systems for client companies, often working on-site in collaboration with the client’s in-house team. With these and other projects driving company growth, Atomic Object turned to The Right Place for assistance in expanding its team and facilities.

Working with the City of Grand Rapids and the (MEDC), The Right Place developed an incentive package to support Atomic Object’s growth within its current location. A Michigan Economic Growth Authority (MEGA) state tax incentive, as well as an abatement of city property taxes from the City of Grand Rapids, will support Atomic Object’s purchase of new equipment and ground floor remodeling. The company will hire five new employees during the project’s first year, with 25 additional jobs to follow.

“Supporting highly sophisticated information technology companies like Atomic Object is essential to supporting our growth as a center for advanced manufacturing, computing and research,” noted Business Development Manager George Bosnjak. “They are a perfect example of the kind of companies that are growing here, and creating the technology that supports many of our traditional industries. Atomic Object’s work not only makes other companies more technically adept and efficient, but supports their ability to make the kind of technology-driven products required to compete in an innovation-driven global market.”

Knape & Vogt – 122 new jobs, $1.24 million in capital investment.

In a follow-up to its acquisition of Richmond, Ill.-based John Sterling Corp. in January, Knape & Vogt (KV) is investing $1.24 million and creating 122 new jobs.

The John Sterling acquisition is KV’s second this year (the company also acquired GSlide Corp., a designer and manufacturer of sliding system products, in January) and its third in the last five years. A former competitor, John Sterling is a leading manufacturer and marketer of functional and decorative home storage and organization products. Major products include residential shelving and organization hardware systems, as well as a collection of sliding door hardware for residential and commercial installations.

The acquisition gives KV an expanded presence in its retail and distribution channels as both companies have long-standing customer relationships with key retailers in the US and Canada.

With the acquisition, KV is absorbing and consolidating the John Sterling operations within KV’s facility at 2700 Oak Industrial Drive NE. The project includes an investment of $1.24 million to re-fit existing unused space and purchase equipment. The company will also add 122 employees to its current complement of 456.

Collaborating with the MEDC and the City of Grand Rapids, The Right Place designed an incentive package – including a MEGA tax abatement on state taxes as well as abatements on local taxes – to support the project.

“Retaining growing companies like Knape & Vogt is a strategic priority for The Right Place,” said Business Development Manager George Bosnjak. “They are the engine of our economic growth, and the source for the majority of new jobs in West Michigan. It has been rewarding for us to work with Knape & Vogt on a variety of projects over the past several years, and we look forward to their continued prosperity.”

The Right Place Announces Expansion of West Michigan Manufacturer

Grand Rapids, MI (Dec. 14, 2010) – Today, The Right Place, Inc. and the Michigan Economic Growth Authority (MEGA) announced new expansion plans for Kentwood, Michigan-based Autocam Corporation expected to create 200 new jobs and $32.6 million in investment over the next five years.

The Right Place’s business development team, led by Susan Jackson, Vice President, Business Development, provided expansion assistance throughout the project, to make this expansion a reality in West Michigan.

“This is the type of collaboration growing Michigan businesses like Autocam need to compete and succeed,” said Birgit Klohs, President and CEO, The Right Place, Inc. “This project is the result of the full cooperation and teamwork of our partners in Kentwood and the MEDC. We remain in a highly competitive global environment, and our ability to quickly work together, gives us a powerful strategic advantage.”

Autocam Corporation is a global leader in manufacturing extremely close tolerance precision components for the transportation and medical industries. The company’s plans include investments in both its transportation and medical device divisions, focusing on the development of next generation components for both.

“We are very proud of the continued growth Autocam has experienced in both our transportation and medical divisions,” said John Kennedy, President and CEO, Autocam Corporation. “Although Autocam is a global manufacturer, we remain committed to west Michigan and Michigan. This latest expansion is yet another testament to that commitment.”

First established as a component supplier to the automotive industry, Autocam Corporation launched Autocam Medical Devices, LLC (AMD) operations in 1991 with locations in Michigan, California and Massachusetts. AMD manufacturers high-precision components, instruments, implants and hand pieces for a wide variety of medical applications including ophthalmology, orthopedics and cardiovascular.

“We are encouraged with the support Autocam has received on this project from the MEDC, the city of Kentwood, and The Right Place,” said Kennedy.

The expansion project will be amended to an existing MEGA credit originally approved in 1997. The city of Kentwood plans to support the expansion project and is currently considering approval of a PA 198 property tax abatement for the company’s facilities located in the city.

With this latest economic development project, The Right Place, working with its local and state partners, has generated $153,000,000 million in capital investment and assisted in the retention and creation of over 1,798 jobs in West Michigan in 2010.

The Right Place Brings 545 New Jobs to West Michigan

Grand Rapids, MI (October 26, 2010) – The Right Place, Inc., The Michigan Economic Development Corporation (MEDC), and local economic partners today announced the planned expansion of two West Michigan companies that are expected to create 545 new jobs and $11.4 million in capital investment.

Dematic Corp. – 505 new jobs, $10.9 million in capital investment
Dematic Corp., designer and manufacturer of material handling systems, plans to invest approximately $10.9 million and create 505 new jobs over the next five years. The company’s expansion plans target building renovations to an existing facility on its campus located at 507 Plymouth Avenue N.E. in Grand Rapids. The new knowledge-based positions will focus on engineering, sales, research, administrative support and production.

“These jobs could have gone to Europe or another Dematic facility in the U.S.,” said Birgit Klohs, President and CEO, The Right Place, Inc. “Dematic’s decision to hire 505 highly-skilled, knowledge-based workers here in West Michigan reinforces that we have the talent in our region and the competitive tax incentive programs available for growing companies.”

The Right Place’s business development team, led by Susan Jackson, Vice President, Business Development, provided planning and expansion assistance to Dematic Corp. throughout the project. Building the business case for Grand Rapids, Jackson assembled a cross-functional team of experts including members from The City of Grand Rapids and the MEDC to support Dematic Corp. through the company’s evaluation and expansion process.

Dynamic Captioning LLC – 40 new jobs, $554,000 in capital investment
Utilizing MEGA’s High-Tech Tax Credit program, Dynamic Captioning LLC, provider of captioning and sub-titling services, plans to invest approximately $554,000 and create 40 new jobs over the next five years. From a newly leased facility at 5740 Foremost Drive SE in Grand Rapids, the company will provide captioning services for full-length motion pictures, music videos, and translation services for television commercials and industrial training videos.

The company considered locating these jobs at an existing facility in New York City. However, The Right Place, business development team, and its local and state economic partners were able to assemble an incentive plan to keep Dynamic Captioning in West Michigan.

“Dynamic Captioning is an example of the new high-tech companies growing in our region,” said Klohs. “This small, but strategic project further diversifies West Michigan’s economy, building a stronger, more sustainable economic future.”

With this latest economic development project, The Right Place, working with its local and state partners, has generated over $120 million in capital investment and assisted in the retention and creation of over 1,598 jobs in West Michigan in 2010.

Cascade Engineering to Expand Renewable Energy Division

Grand Rapids, MI (July 20, 2010) – What began with a commitment to sustainable manufacturing has blossomed into new investment and jobs for West Michigan, thanks to Cascade Engineering. The company announced today that it is expanding its three-year-old renewable energy division, Cascade Renewable Energy (CRE) and plans to invest $2.8 million and create up to 24 jobs over the next year.

CRE designs, develops, manufactures, and sells distributed renewable energy systems throughout the United States and Canada. Its first product to market was the SWIFT Wind Turbine that provides renewable energy for residential, community and commercial use. CRE is the manufacturer of the plastic blade assembly for all SWIFT Wind Turbine installed worldwide and the exclusive distributor and marketer of SWIFT in the United States and Canada. More recently, CRE has added a line of solar photovoltaic products to it portfolio. By the end of the year, CRE expects to have installed over 500 kW of solar PV in Michigan. Finally, CRE has developed a strategic relationship with Lowe’s, the home improvement retailer, to bring an assortment of CRE’s renewable energy and energy efficiency products to customers in select Lowe’s stores in the United States and Canada.

Cascade Engineering had considered its facilities in North Carolina and Ohio, or a location in Texas for the expansion. To retain the investment in West Michigan, The Right Place collaborated with the Michigan Economic Development Corp. and Cascade Township to develop an incentive and assistance package that included Michigan Economic Growth Authority (MEGA) tax credits as well as local support. Located at 3400 Innovation Ct. SE in Grand Rapids, Cascade Engineering employs 414 in West Michigan and will add up to 183 jobs over the next five years as a result of the expansion. A longstanding customer of The Right Place, the company recently joined The West Michigan Wind Manufacturers Network, a collaborative convened by The Right Place to provide a forum for area manufacturers currently serving, or joining the wind energy supply chain to share market knowledge and best practices.

“The majority of our work is in assisting the growth of West Michigan companies, and we have been pleased to support Cascade Engineering’s development,” said Right Place Vice President Sue Jackson, noting The Right Place has been working with Cascade on alternative energy and supply chain development issues. “They are a tremendous example of how West Michigan manufacturers are successfully translating technical expertise into new market opportunities.”

“Cascade Engineering is committed to developing a portfolio of sustainable products and services through our entire family of companies,” noted Cascade Chairman and Founder Fred Keller. “We appreciate the support and partnership of The Right Place, the state of Michigan and Cascade Township in furthering our business growth and expansion in West Michigan. “

With this latest economic development projects, The Right Place, working with its local and state partners, has generated $100,000,000 million in capital investment and assisted in the retention and creation of over 561 jobs in West Michigan in 2010.

Gordon Food Service Expands in West Michigan

Wyoming, MI (June 15, 2010) – Gordon Food Service (GFS), North America’s largest family-owned foodservice distributor, plans to invest $24.2 million to consolidate several business operations spread throughout Canada into a new 100,000 square-foot facility in Wyoming. Pending all local and state approvals, the new building would be located within the company’s world headquarters campus, and would house 173 new positions the company plans to fill over the next five years.

Gordon Food Service recently announced an organizational restructuring in Canada that was developed to provide a more consistent and integrated experience for its Canadian customers. Pending local and state approvals, the company will centralize these roles in Wyoming. Gordon Food Service and its affiliated companies currently employ 2,393 in Michigan, of which 273 are retail positions.

Gordon Food Service was considering a location in Ontario, Canada as well as Wyoming for the expansion. The Right Place collaborated with the Michigan Economic Development Corp., the Michigan Department of Transportation and the city of Wyoming to develop an incentive and assistance package that included state Brownfield Redevelopment and Michigan Economic Growth Authority (MEGA) tax credits as well as local support. Located on 50th Street, west of Clay Avenue, the new office building would have the capacity to house up to 700 office workers. It would complement, not replace, other buildings on the Wyoming campus.

“We are very encouraged and pleased with the support Gordon Food Service has received on this project from the state of Michigan, The Right Place, and the city of Wyoming. This project is not only an investment in the future of Gordon Food Service; it is an investment in the West Michigan Community,” said Gordon Food Service President, Jim Gordon.

ConAgra Foods a Healthy Choice for West Michigan

Grand Rapids, MI (May 18, 2010) – ConAgra Foods, Inc., maker of such leading brands as Healthy Choice, Chef Boyardee, Hunt’s, Orville Redenbacher’s and Banquet, is expanding the former Elan Nutrition facility.

ConAgra Foods manufactures store-brand snack bars at its facility in Lakeville, Minnesota, and acquired Elan – a manufacturer of nutrition bars – in April, retaining its employees. The upgrade of the Elan facility at 4490 44th Street in Kentwood includes the purchase of new equipment and machinery, and will expand ConAgra Food’s manufacturing and R&D capacity.

The acquisition and the facility will support ConAgra Food’s investment in the $5 billion wholesale bar market. To support that entry, the company was considering expanding its Lakeville facility. The Right Place, Inc. in collaboration with the Michigan Economic Development Corp. (MEDC) and the city of Kentwood, assembled an incentive package valued at $9 million to support ConAgra Food’s enhancement of the Kentwood facility instead of the plant in Minnesota. ConAgra Foods currently employs 531 throughout Michigan, and this latest investment will add a significant number in Kentwood over the next year. Over the next five years, ConAgra Foods plans to develop a Center of Excellence Research and Development facility in West Michigan and make a significant investment in the training and education of its Kentwood workforce. These plans could create an additional 205 jobs.

ConAgra Foods officials cited West Michigan’s growing food processing industry as a factor in convincing the company to invest here.

“Food processing continues to be one of our strongest industry clusters,” noted Right Place president Birgit Klohs. “Adding a global leader like ConAgra Foods to that segment brings not only jobs, but also new innovation, development and growth opportunities for West Michigan.”