Columbus, situated in the heart of Ohio, is a prime example of how Ohio communities cater to businesses of all sizes, including some of the largest in the nation.
Historically, the Columbus metro has been a favorite for manufacturing and distribution firms, so it’s only fitting that retailer Target is in the process of building a new distribution center (DC) in Madison County.
In an extensive search process headed up by site consultants, Madison County beat out one site contender in Western Pennsylvania and four others in Ohio, three of which were also in the Columbus metro.
Ultimately, the nation’s second largest retailer selected a 150-acre industrial land site. The project will result in a new 1.3 million square foot building that will eventually be home to 900 employees at full operation. The price tag on the project is an estimated $135 million.
Construction began early last year. Hiring for non-management positions should begin in April.
Officials involved in the project said that Target executives were drawn by the site’s strategic location along Interstate 70, as well as the quality and size of the labor pool within 30 minutes of the site.
The Business of Beauty
Beauty care icon L’Oreal USA Inc. is making plans to expand operations in Streetsboro, which is centrally located between Cleveland and Akron. The company is expanding its DC capacity in support of its professional products division, which includes Matrix Essentials.
The company looked at other sites in Ohio, as well as in Kentucky, but ultimately chose Streetsboro for the 650,000 square foot warehouse and distribution facility.
L’Oreal plans to consolidate operations from its Hebron, Ky., and Solon, Ohio, facilities at the new site.
The $9.5 million project is expected to create close to 70 jobs and retain about 190 positions and represents the largest new construction project in Northeast Ohio in years.
A $50,000 Business Development grant from the state of Ohio will help the company offset the costs associated with acquiring and installing new machinery and equipment.
Also in Northeast Ohio, Swiss manufacturer Coltene/Whaledent last year completed the relocation of its North American headquarters from New Jersey to Cuyahoga Falls, near Akron.
Coltene/Whaledent, a manufacturer of dental products, committed $8 million to its newly constructed corporate office and production center located in the Ascot Industrial Park. The project is expected to result in 300 jobs within three years.
After purchasing a manufacturing plant in nearby Tallmadge in 1997, and after much comparative analysis, Coltene/Whaledent decided it made the best economic sense to consolidate operations in the Akron metro.
Akron is home to more than 80 percent of all academic polymer research in the world, and Coltene/Whaledent uses polymer materials in its products.
Elsewhere in the state, a $500,000 Business Development grant was offered to Japan-based Sumitomo Mitsubishi Silicon Corp. (SUMCO), which recently celebrated a $51 million expansion at its Maineville plant.
The Greater Cincinnati-rooted project was also offered a $400,000 Ohio Investment in Training Program grant, a variable-rate Job Creation Tax Credit for a 10-year term, a $4 million direct loan and an $8 million Ohio Enterprise Bond.
SUMCO manufactures polished and epitaxial silicon wafers in 100-, 125-, 150-, 200- and 300-millimeter diameters for the semiconductor industry. The expansion, which created 260 new jobs and retained 406, is accommodating additional wafer production.
“Our parent company has decided that we can best meet our global customers’ needs by expanding our Ohio plant,” said Yasuo Tsujigo, president and CEO of SUMCO USA.
About 500 more new jobs are en route to Piketon in Southern Ohio, where USEC Inc. will establish its new American Centrifuge plant.
The plant will be located at the former Portsmouth Gaseous Diffusion Plant, where uranium was enriched for the domestic energy industry in prior years.
Amended legislation, a competitive incentive package and strong support on many levels helped win the project, which is valued at more than $1 billion.
— Rachael Hedgcoth
FACTS & CONTACTS OHIO
DEMOGRAPHY AND ECONOMY
Population: 11.4 million
Capital: Columbus
Three Largest Cities: Columbus, 671,247;
Cleveland, 501,662; Cincinnati, 330,914
Gross State Product: $374 billion
Per Capita Income: $27,152
Percentage of Private Manufacturing
Labor Force Organized: 28.1%
Right to Work State: No
Unemployment Rate: 6.0% (December 2003)
Average Hourly Manufacturing Wage: $16.74
Population Age 25 and Over With Bachelor’s
Degree or More: Columbus, 24.6%;
Cleveland, 28.1%; Cincinnati, 22.2%
Corporate Income Tax Rate: 5.1% to 8.5%
Primary Industries: Motor vehicles, plastics, steel, machinery, food, insurance, agriculture
Targeted Industries: Biosciences, fuel cells, advanced materials, information technology, power and propulsion, instruments, controls and electronics
BUSINESS ASSISTANCE
Worker Training Programs: Ohio Industrial Training Program, Ohio Training Tax Credit Program,
Ohio Department of Education programs,
Ohio Board of Regents programs
Enterprise Zone: 380
Foreign Trade Zones: 8; Toledo, Cleveland, Cincinnati, Dayton, Clinton County, Franklin County, Findlay, Akron-Canton
FOR MORE INFORMATION CONTACT
Ohio Department of Development
Bruce Johnson, Director
77 S. High Street, Columbus, OH 43215
(800) 848-1300, fax (614) 752-4858
Web: www.odod.state.oh