The Michigan Economic Development Corporation announced approval of incentives by the Michigan Strategic Fund for 11 projects that will create a total of 568 new jobs while generating $97.4 million in private investment.
Four of the projects are business expansions that are receiving incentives under the Michigan Business Development (MBD) Program.
Harman Becker Automotive Systems, Inc., a wholly owned subsidiary of Harman International Industries, is consolidating operations currently dispersed in six different facilities into a single new complex in the City of Novi, MI. Harman is investing close to $45 million into this project, and will be creating 150 new jobs.
The company chose Novi for the consolidation over competing sites in California, Colorado and Illinois. Harman has been approved to receive an $800,000 performance-based grant under the MBD program, and the City of Novi is additionally supporting the project with a property tax abatement.
Specialty heater manufacturer Nexthermal Corp is getting a $250,000 MBD grant for a proposed expansion in the City of Battle Creek where the company plans to create 50 new jobs and invest $1.96 million.
Nexthermal chose Battle Creek and Michigan over competing sites in Alabama, Georgia, Oklahoma and overseas locations in India and China. The City of Battle Creek is additionally supporting the project with local incentives provided as an Industrial Facility Tax Exemption.
The other two expansions are by CDK Global, Inc. in downtown Detroit and by Sunrise Windows Ltd. in Bedford Township. Both companies are undertaking expansions that will create 100 jobs each. CDK Global is investing $3.6 million and is getting a $1 million MBD grant, while Sunrise is investing $5.1 million and getting a $350,000 MBD grant.
Apart from incentives for these four expansion projects, MSF approval was also announced for five projects under the Michigan Community Revitalization Program.
One of these five projects is a plan by Artspace Projects, Inc. to renovate three buildings in Dearborn, MI. The core of the project is a conversion of Dearborn City Hall into a mixed-use arts campus that includes 54 affordable working and living spaces designed for artists.
This development will also include studios, galleries and a creative entrepreneurship center that will provide support for the artists in the complex. The project will create four full-time jobs and generate $15.8 million in capital investment.
Artspace Projects, Inc. is getting a $1 million performance-based grant under the Michigan Community Revitalization Program. The City of Dearborn is supporting the project with a PILOT agreement valued at $1.3 million, plus a $400,000 loan and another $500,000 in HOME funding.
Since two of the buildings being renovated are historic buildings, federal assistance is being provided through federal historic tax credits and low-income housing tax credits. The project is also getting grants from the Ford Foundation and Severstal International.
Community revitalization grants were also approved for three other projects in Detroit and one more in Grand Rapids. The City of Detroit Brownfield Redevelopment Authority was additionally approved to use local and state taxes valued at $346,180 for redeveloping a four-story building into 36 residential units and retail space.
The City of Sturgis was awarded $442,000 in CDBG funding to be used for providing job training for an expansion project by Sturgis Molded Products which is creating 50 new jobs.
Michigan Economic Development Corporation President and CEO Michael A. Finney said in a release that these new investments show Michigan’s highly competitive business climate and talented workforce mean real opportunities for growing companies.