$50M facility could bring 100 jobs to St. Joseph County
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Editor’s Note: This story has been updated to note that Holladay Properties is building the new facility, not Lippert, and include a response from Lippert.
South Bend-based Holladay Properties plans to build an 800,000-square-foot warehouse and distribution center in St. Joseph County that it says Elkhart-based Lippert will use to expand its presence, according to documents filed with the St. Joseph County Council.
Holladay and Lippert’s components company, LCI Services Corp., are seeking tax abatements for the more than $50 million project, which the documents say could bring 100 new jobs to the county.
Holladay said in the documents that Lippert plans to sign a 10-year lease for the building with HP Old Cleveland Partners LLC, an entity controlled by Holladay.
Despite the details provided to the county, Lippert Chief Marketing Officer Jarod Lippert provided the following statement in an email to Inside INdiana Business on Wednesday.
“To be clear, Lippert has not signed any type of lease related to the property at this time,” he said. “Lippert has not committed to any new jobs or compensation rates. Finally, Lippert has not spent—and will not be spending—$50 million to construct this building in South Bend.”
The project is slated for 52 acres of vacant land at Old Cleveland Road and Didam Boulevard in the NW Cleveland Road Economic Development Area. Plans call for a 798,000-square-foot warehouse and distribution center as well as 22,000 square feet of office space for Lippert’s aftermarkets parts division. The site is expected to include 258 car parking spaces and 120 overhead doors.
Holladay estimates construction will cost $46.6 million for the warehouse and distribution center with another $5 million dedicated to a personal property buildout.
Lippert manufactures and supplies components for the RV, marine, automotive, commercial vehicle and building products industries. The company employs more than 12,000 people across its global footprint.
Lippert currently employs 576 in St. Joseph County between two facilities — one at 400 S. Byrkit St. in Mishawaka and another at 1902 W. Sample St. in South Bend, the documents said.
The company expects to pay $21 an hour for jobs in the new warehouse and $38 an hour for office positions, according to the documents. No building permits have been awarded for the project at this time.
St. Joseph County Council President Mark Root on Tuesday night assigned a request for tax abatements to the council’s land use planning committee. Holladay is seeking a seven-year real property tax abatement, while Lippert is seeking a five-year personal property tax abatement on equipment it plans to purchase for the new operation.
St. Joseph County Economic Development Director Bill Schalliol said in a meeting Tuesday morning that he expects the abatements will receive a final vote in December.