Even multi-billion dollar global corporations like Whirlpool Corporation have to remain both flexible and agile in their daily dealings in order to remain competitive on the world stage and that’s why St. Joseph City Commissioners on Monday night will get a revised application from the appliance giant through Cornerstone Alliance for the industrial facilities tax exemption being sought for expansion and renovation of the company’s St. Joseph Tech Center.
The scope of the project is being scaled back by some $10-million to a revised investment of $25-million from its originally project $35M price tag, thanks largely to the company’s engineering prowess which will help them save money through “sustainable building practices.” Cornerstone Alliance President Rob Cleveland says, “As each individual project evolves, it’s important to maintain full transparency and provide updates on key metrics.” He calls the most common fluctuation of any project, “always the total investment in the project.”
A revised IFT application and supporting documents have been dispatched to the city, asking for their continued support of the project. The project had already evolved from the original plan to create a Community Rehabilitation District to the more straight forward Industrial Facilities Tax Exemption at the suggestion of the MEDC.
Cleveland says, “Whirlpool is globally recognized as a model company for its sustainable building practices. In an effort to be environmentally responsible, Whirlpool goes to great lengths to design its buildings in a way that will maximize the available space and will foster collaboration and creativity.” As a result, he says, “For the St. Joseph Tech Center project, Whirlpool was able to gain efficiencies in the reuse of the existing building and by value engineering the project, which will reduce the environmental footprint and overall costs.”
Cleveland also is quick to point out that the Michigan Economic Development Corporation still “fully supports this project.” In fact, he notes, “They have confirmed that commitment by funding the creation of the pedestrian bridge across the Paw Paw River, which was approved by both the City of St. Joseph and the City of Benton Harbor.”
Cleveland says, “Whirlpool anticipates retaining 550 to 700 jobs in the St. Joseph Tech Center,” and points out, “Today’s workforce is about flexibility and mobility that is exemplified right here in Michigan’s Great Southwest.” He adds, “The Whirlpool engineers responsible for designing the appliances of tomorrow are cross-functional, highly-skilled and are able to move freely from project to project.” By way of example, Cleveland says, “On any given day, an engineer could be working on a laundry assignment in St. Joseph and, the very next week, be working on a refrigeration assignment on the other side of the Paw Paw River.”
The project will be undertaken in four phases with phase 1 beginning next month and wrapping up next March, followed immediately by phase 2 launching in April and running all the way through the end of 2019. Phases 3 and 4 would be undertaken in 2020 with phase 3 in the first half of that year and phase 4 in the second half of that year.
The robust expansion plan still includes an $18-million investment in a new, roughly 50,000 square foot facility in the Edgewater District north of the St. Joseph River adjacent to the existing Tech Center, and another $7-million will be invested in state-of-the-art renovation of existing space at the SJ Tech Center.
St. Joseph City Commissioners will be asked to expedite the process with their approval of the revised IFT application on Monday night.
