KALAMAZOO COUNTY, MI — Two economic development projects will bring a combined 64 new jobs and more than $25 million in capital investment to Kalamazoo County.
In Portage, TST Portage is redeveloping an existing manufacturing facility and building a new facility at 5870 and 5960 Sprinkle Road. In Schoolcraft Township, Forming USA is building a new sales and manufacturing facility, according to a Tuesday, Dec. 17 news release from Gov. Gretchen Whitmer’s office.
TST Portage received approval of an Act 381 Work Plan to develop a new manufacturing facility with a second-level office in Portage. The project involves the partial demolition of an approximately 34,000-square-foot structure and the construction of a new, 43,000-square-foot facility in its footprint.
Tenants will include Depatie Fluid Power Company and Micro-LAM, with space for future tenants. The project supports the revitalization of an existing site in the community and is expected to create 14 new jobs with an average wage of $30.29 per hour, while generating $9.3 million in capital investment.
This is in addition to a new 63,000-square-foot facility on the property that started construction last fall, state officials confirmed.
The new development will catalyze 106,200 square feet with the support of the Michigan Strategic Fund through the Act 381 Work Plan, which has an estimated value of $428,193, the governor’s office said.
TST Portage considered locations in Minnesota and Indiana, but ultimately chose Michigan as a result of the state’s support, the governor’s office said. The company also received local brownfield support valued at $526,300 and an Industrial Facilities Tax abatement valued at $808,669, the governor’s office said.
“Brownfield incentives are so catalytic to the community as they represent development that would not have occurred, and the taxing bodies still receive the same tax revenue they were getting before the improvements,” Portage City Manager Pat McGinnis said in the release. “Then, once the costs are reimbursed and the program is complete, the taxing bodies realize a major increase.”
Forming USA, LLC, a Swiss based manufacturer of cold-rolled steel profiles, is establishing a sales and manufacturing facility to support and expand their U.S. customer base with domestic manufacturing capabilities at 14637 S. U.S. 131 in Schoolcraft Township.
The new facility is expected to create 50 new jobs with an above average hourly wage, plus benefits. The company anticipates it will result in more than $15 million in capital investment with the support of a $500,000 Michigan Business Development Program grant.
The new facility will be a phased approach over five to 10 years, starting construction on a 50,000-square-foot facility on the 38-acre site in 2025 and then building additions in future years.
This space will primarily serve as steel roll forming manufacturing, but will also include office space (sales, engineering, supply chain, finance, administration), warehousing and distribution. The facility will incorporate a rail spur to allow efficient and economical delivery of steel master coils directly into the facility.
More Kalamazoo business news: $70M expansion will bring 125 jobs to Kalamazoo-area manufacturer
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