LANSING — Nearly $85 million in new private investment with up to 878 jobs, and an authorization to the city of Detroit to use incentives to further develop manufacturing and transportation districts, are among projects approved Tuesday by the Michigan Strategic Fund.
The Michigan Economic Development Corp. administers programs on behalf of MSF, and serves as the state’s marketing and business attraction agency.
At Tuesday’s meeting, the MSF board approved:
* City of Detroit–Next Michigan Development Corporation (D-NMDC): Detroit has received MSF approval as the state’s seventh and final Next Michigan Development Corporation. In ithis role, D-NMDC will seek to attract eligible businesses to key employment districts within the city, which have the greatest potential for growth in the industries of manufacturing, transportation, distribution and logistics. The NMDC designation grants the authority to offer tax incentives such as renaissance zones, real and personal property tax exemptions, and local development financing.
* FEV North America Inc., a subsidiary of German’s FEV Group, received a $1.2 million Michigan Business Development Program performance-based grant to support a $27 million tech center in Auburn Hills that will create 250 new jobs. The company currently employs about 500 people. FEV, founded in 1978 in Germany, is a powertrain and vehicle design engineering company. Michigan was chosen over a competing site in South Carolina. Auburn Hills is offering a property tax abatement in support of the project. Individuals interested in career opportunities with FEV should visit http://www.fev.com/careers/jobs-at-fev.html and select “USA.”
* Holland-based JR Automation Technologies LLC received a $2.2 million Michigan Business Development Program performance-based grant to build a $5.6 million new plant in Holland Township, creating 250 new jobs. JR designs and manufactures automated machinery to the automotive, medical, pharmaceutical, aerospace, construction, furniture, and food processing industries. Michigan was chosen as a result of a national search. Holland Township has offered support in the form of 12-year property tax abatement. For career opportunities with JR Automation, visit http://www.jrauto.com/Careers.
* The Hazel Park Brownfield Redevelopment Authority received MSF approval of $5,751,200 in local and school tax capture for the redevelopment of approximately 36 acres of land at the Hazel Park Raceway complex. Tri-County Commerce Center LLC plans to construct a 575,000-square-foot building on the site that will be designed to serve industrial tenants. The project is expected to generate $36 million in total capital investment and create 175 full-time equivalent jobs. The tax capture will be used toward the alleviation of brownfield conditions at the site, including demolition activities, lead and asbestos abatement, site preparation, and infrastructure improvements.
* River’s Edge Partners LLC received a $750,000 Michigan Community Revitalization Program performance-based grant to support a $10.4 million project that will convert a former steel fabrication plant and foundry on East Michigan Avenue in downtown Kalamazoo into office and collaborative work-incubator space. The completed project will include offices, retail space, a restaurant, fitness center, collaborative area, and an outdoor terrace facing Portage Creek. The project is expected to create 118 full-time equivalent jobs. In addition, the Kalamazoo Brownfield Redevelopment Authority received MSF approval for $742,930 in local and school tax capture for the project. The funds will be used alleviate brownfield conditions at the site and prepare it for construction, including asbestos removal, demolition, site preparation activities and infrastructure improvements. The Michigan Department of Environmental Quality is also supporting the project with tax increment financing in the amount of $47,030, a grant in the amount of $191,750 and a loan in the amount of $193,935. To view a video on the River’s Edge project, visit this link. https://www.youtube.com/watch?v=svAJ0ouTtHs.
* The city of Adrian was awarded $2,866,446 in Community Development Block Grant funds for the Strongback Four Corners Redevelopment Project in downtown Adrian. Strongback Properties LLC plans to redevelop three historic properties into commercial space, residential rental housing, and parking. The project is expected to generate more than $4.7 million in total capital investment and create eight to 10 full-time equivalent jobs. MSF also approved $392,375 in local and school tax capture for the Adrian Brownfield Redevelopment Authority to alleviate brownfield conditions at the site and prepare it for redevelopment.
* River Parc Place II LLC received a $636,860 Michigan Community Revitalization Program performance-based grant to support a $4 million renovation of an existing four-story building at 80 Washington St. in downtown Manistee into a mixed-use development. Built in 2006 as a residential condominium project, the building was never completed and is considered blighted by the city. Once completed, the building will consist of a mixed-use development with residential rental units and commercial space. The lakefront space will also be renovated to allow lake access boat slips for both public and private use. In addition, Manistee Brownfield Redevelopment Authority received MSF approval for $2,980,685 in local and school tax capture to be used toward alleviation of brownfield conditions at the site as well as six adjacent parcels and prepare them for redevelopment.
MSF also approved the following:
* Michigan Translational Research and Commercialization (MTRAC) Ag Bio Innovation Hub – $1 million in MTRAC funding to Michigan State University to serve as the MTRAC Ag Bio Innovation Hub supporting technology transfer from Michigan’s institutions of higher education, non-profit research centers and hospital systems for the commercialization of competitive edge ag bio technologies.
* Gatekeeper Business Incubator grant – $100,000 to Lawrence Technological University to provide support services and business advice to early stage technology companies in the Southfield and Troy areas.
* Procurement Technical Assistance Center (PTAC) Program grant – $100,000 in funding to the Flint and Genesee Chamber of Commerce PTAC to provide government contracting support to businesses in the city of Flint.
* Private activity bond financing – Approval of an inducement resolution for private activity bond financing of up to $4.5 million for the construction of a new building and acquisition of equipment in Bay County’s Monitor Charter Township for the F.P. Horak Co. and H & J Realty Co. LLC. The project is expected to create up to 71 jobs over a three-year period.
For more on the MEDC and its initiatives, visit michiganbusiness.org. For Michigan travel news, updates and information, visit michigan.org. Michigan residents interested in seeking employment with any of Michigan’s growing companies should check mitalent.org, where more than 99,000 jobs are currently available in a variety of industries.