IN THE NEWS
LVEDC is instrumental in Assisting with to Agriculture Loans
Wen-Crest Farms LLC was approved for a $300,000, seven-year term loan at a fixed 2 percent rate through Lebanon Valley Economic Development Corporation to assist in the purchase of a 2017 New Holland combine and other equipment to be used for bean and crop harvesting. Owner Steve Wenger has a third-generation farming operation on Schaeffer Road in South Lebanon Township that produces various types of crops and livestock that are sold to local dairy farms and other companies.
Matthew and Katrina Martin
Matthew S. and Katrina Martin were approved for a $400,000, 15-year term loan at a fixed 2 percent rate through Lebanon Valley Economic Development Corporation to assist in the construction of three 63-by-500-foot broiler houses to raise organic birds on their 74-acre poultry farm on Kenbrook Road in North Lebanon and Swatara townships. Matthew S. and Katrina Martin were approved for a $400,000, 15-year term loan at a fixed 2 percent rate through Lebanon Valley Economic Development Corporation to assist in the construction of three 63-by-500-foot broiler houses to raise organic birds on their 74-acre poultry farm on Kenbrook Road in North Lebanon and Swatara townships.
Ace Hardware picks Lebanon hub as part of corporate restructuring Abetted by state funds, deal is expected to create 208 jobs
By CPBJ Staff, April 27, 2017 at 11:20 AM
(Photo / Thinkstock)
A Lebanon County warehouse is slated to become a new regional distribution center for national retail cooperative Ace Hardware Corp., which is restructuring its operations in the eastern U.S. over the next two years.
Ace Hardware has agreed to lease an 874,126 square-foot warehouse in Bethel Township, according to the office of Gov. Tom Wolf, whose administration announced the deal this morning.
The warehouse will be enlarged to 1.1 million square feet and serve as a distribution center serving Ace Hardware stores in Pennsylvania, New Jersey, New York, Virginia and Washington, D.C., according to the governor's office.
The warehouse is in the Lebanon Valley Distribution Center, which was developed by Trammell Crow Co., said Susan Eberly, president and CEO of the the Lebanon Valley Economic Development Corp. The center is off Route 22, near the I-78/I-81 split.
In a separate release, Illinois-based Ace Hardware said the move is part of a restructuring of its distribution operations.
In addition to opening the Lebanon County warehouse, the company plans to close facilities in Virginia, Maryland and Maine, as well as in Pittston, Pa. The restructuring also includes the recent expansion of a distribution facility in Wilton, N.Y., north of Albany.
The restructuring is expected to take 24 months, Ace said, with the Lebanon facility opening in the first quarter of 2018. The company also said it would work with employees affected by the restructuring, offering them transition services and relocation opportunities.
The company plans to invest $20 million in the Lebanon facility, creating 208 full-time jobs and retaining 65.
The state Department of Community and Economic Development kicked in an incentive package of grants and tax credits worth a combined $568,000, including $208,000 in job creation tax credits to be distributed once the jobs are created.
The project was coordinated by the Governor's Action Team, comprised of economic development professionals who report directly to the governor, in collaboration with the Lebanon Valley Economic Development Corp.
"Pennsylvania's proximity and access to markets makes it a prime choice for these types of distribution centers," Wolf said in a statement.
Indeed, Bethel Township has seen a flurry of warehouse construction over the last few years.
In a statement, a company executive described Bethel Township and the surrounding Fredericksburg area as an "ideal location" for its new warehouse.
"The opening of our new distribution center will create operational efficiencies across our entire supply chain network," said the executive, Lori Bossmann, an executive vice president for supply chain, inventory replenishment and retail support at Ace Hardware.
Ace had revenue of $5.13 billion in 2016, up from $5.05 billion in 2015, according to its 2016 annual report. Net income came in at $161.2 million in 2016, up from $156.2 million.
Founded in 1924, the company also last year added 207 stores to its worldwide network of more than 5,000 stores, which includes about 20 in Central Pennsylvania. Most are independently owned and operated.
Editors' note: This story has been updated with comments from Ace Hardware and the Lebanon Valley Economic Development Corp.
Showcasing the Lebanon Rails Business Park
A mixture of success and progress can be seen when you drive through the
Lebanon Rails Business Park located in North Lebanon Township.
Following on the heels on manufacturing week, LVEDC President, Susan Eberly,
Congressman Charles Dent and his Legislative Aide, Brian Craig took time to tour the LRBP to visit
the manufacturing facility Directors. The group’s first stop was to the Lebanon Valley Cold Storage &
Distribution Center project site to visit with Eric Smith, Site Manager for Primus Builders. The excavation
process is well underway and the building construction for the 120,000 square foot facility will soon begin.
The facility will be a combination of manufacturing and warehouse space. The company, which is owned by Michael Byrd will create 131 jobs over the next three years.
There next stop was to Always Bagels, to meet with Qwenael Spilmont, V.P of Operations. Always Bagel’s built there state of the art production facility in 2008. They manufacture bagels, which are sold to multi chain stores. Mr. Spilmont graciously offered a tour of the facility and shared the positives of being located in the Lebanon Rails Business Park.
Next stop was to Vision Corps Alley Center to meet with George Tobler, Director of Manufacturing. Vision Corp built their Lebanon County facility in 2008. They currently serves 2,000 individuals who are blind or vision impaired through rehabilitation services and or/ employment opportunities.
The Lebanon Rails Business Park was developed in 2005 and is now home to three successful businesses with a fourth facility in the building phase.
Lebanon Valley Cold Storage
Owned by Bake Crafters Food Company, Harrisburg-based Lebanon Valley Cold Storage & Distribution Center serves as a refrigerated warehouse and distribution center for the company’s wholesale baked goods. Selling large quantities of frozen bread to school districts in 47 states, the facility Lebanon Valley currently leases in Pennsylvania is a prime spot for collecting and shipping products.
Over the past five years, Bake Crafters has doubled sales, thanks to its quality product and dedicated sales force. To accommodate this growth, Lebanon Valley Cold Storage & Distribution Center recognized the need to find a larger space. The company wanted to stay in Pennsylvania because of its central location, and found a warehouse in Lebanon County that was large enough to meet and exceed current demands.
Partnering with the Lebanon Valley Economic Development Corporation (LVEDC) and the Governor’s Action Team, Lebanon Valley Cold Storage & Distribution Center was awarded a $2 million PIDA loan in June 2016. A few months later, the company started construction on its 22.83-acre site, a move that will add 131 new, full-time jobs over the next three years.
By building a facility and becoming part of Lebanon County, we are looking to help build this community.
– Marlene Kreidler, Director of Business Development of Lebanon Valley Cold Storage & Distribution Center
Along with jobs, the facility will bring parallel businesses in the region an opportunity to grow and expand, spurring economic development in Lebanon County and beyond.
“By building a facility and becoming part of Lebanon County, we are looking to help build this community,” said Marlene Kreidler, director of business development of Lebanon Valley Cold Storage & Distribution Center. “We’re excited to provide good-paying jobs and opportunities for other companies to increase their capacity — ultimately, we hope to increase the standard of living in this region.”
LVEDC Lends Support to Local Businesses
Lebanon Valley Economic Development Corp. approves loan for distillery
Lebanon Daily News, 12/23/14
The Lebanon Valley Economic Development Corporation Board of Directors approved a loan from its revolving loan fund to help Hidden Still distillery purchase a property in Lebanon at its annual holiday meeting held recently at the Lebanon Country Club.
Loan Committee chairman Barry Ansel reported to the board that Hidden Still was seeking a loan to purchase a property at North Fifth and Willow streets and recommended that use of funding from the revolving loan fund be approved for the project.
Hidden Still owner David Stein hopes to open the distillery by August 2015.
Also at the meeting, executive director Susan Eberly reported that she accompanied Wilfred Muskens, deputy secretary of the Office of International Business Development to several international companies in Lebanon County to see if the state and the LVEDC could offer business assistance to them.
Workforce committee chairman Frank Kocher reported that workforce service providers continue to meet on a monthly basis. He noted that they are collaborating on designing a training curriculum that will be beneficial for the manufacturing sector
Behind the scenes work by the LVEDC helps MSC
MSC Industrial Supply could expand Lebanon County operations
By Michael Sadowski, December 19, 2014
MSC Industrial Supply Co., a national distributor of industrial tools, is considering expansion in its Lebanon County operations with a $10 million building project.
Director of Engineering Darin Russell confirmed the Union Township facility is one of a handful of company locations under consideration for the project.
The expansion will add 250,000 square feet to the facility. Russell said the project also is under consideration for the Atlanta and Elkhart, Ind., facilities and possibly others.
The location could depend on what kind of incentive or tax abatement programs are offered. On Thursday, the Lebanon County Board of Commissioners approved a Local Economic Revitalization Tax Assistance — known as LERTA — abatement plan for the project if it happens in Lebanon County.
LERTA forgives taxes on property improvements on a sliding scale for a period of up to 10 years, depending on the local agreements. There is no abatement of the current property tax rate, only the improvements.
The three local taxing bodies — the municipality, the county and the school district — are all asked to approve a LERTA designation.
Union Township and the Northern Lebanon School District have not yet approved LERTA designation. The three taxing bodies do not have to agree on the LERTA, and separate taxing bodies can apply LERTA designation without the others.
New York-based MSC Industrial Supply operates a call center and customer fulfillment center in the township that employs between 350 and 400 people, Russell said. Nationwide, it has about 4,000 employees.