Momentum Entrepreneurship Hub joins the list of catalytic entrepreneurial projects
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Officials broke ground Friday on another Regional Economic Acceleration and Development Initiative, or READI, project designed to spark creativity and collaboration among entrepreneurs in the South Bend-Elkhart region.
Born out of Momentum Development Group (MDG), the Momentum Entrepreneurship Hub received a $1.1 million grant from the South Bend-Elkhart Regional Partnership as part of the region’s initial $50 million READI 1.0 allocation. The total estimated cost of the project is $6.3 million.
Curated to model similar spaces in Austin, Bloomington and Chicago, Kris Priemer, one of the members of MDG, started nursing the idea for the hub about three years ago and has big dreams for the possibility and potential that the hub will birth and cultivate.
“This hub is going to be a space where ideas take shape, where collaboration sparks innovation in other entrepreneurs, whether they’re just starting or established and looking to scale,” Priemer said. “I’ve always dreamed of creating something like this, especially after seeing how transformative similar spaces in other cities have been. It’s designed to be a place that I wish existed in my early days as an entrepreneur.”
Designed as more than the physical space, the hub will offer more than just coworking opportunities through monthly events, a coffee bar in partnership with Revenant Coffee in the lobby, a 150-person event space and a cocktail bar open to both members and the larger community.
“Our goal is to cultivate an environment where entrepreneurship can flourish and contribute to the economic vitality of our community,” Priemer added. “We want this hub to become the home for problem solvers, creators, risk takers, people who are passionate about making impact and driving innovation.”
The facility will also include a gym, indoor bike storage, and a business center. Office spaces between 2,000 and 5,000 square feet are currently available for pre-leasing. With a coworking membership, residents would be able to work from the hub for $200-$300 a month.
Erected in 1954, the building was formerly home to the Salvation Army before its move in 2015. After purchasing a couple of buildings in the area, Priemer noticed the defunct building and envisioned a space where he and his fellow founders could come together, but he couldn’t do it alone. Kurt Janowski, Brad Emberton, Neal and Priemer came together to create a diamond in the rough.
“New ideas need old buildings. In many cases, these lots would be cleared and the buildings would be lost, instead this project will revitalize a century old apartment building and the former Salvation Army building into a destination for entrepreneurs,” Emberton said. “We’re building a unique environment that inspires creativity and collaboration, all while preserving the history and culture of our community and making a sustainable choice.”
From Vincennes to Warsaw and now South Bend, Indiana entrepreneurship is marching on and keeping Indiana Economic Development Corp. Senior Vice President of Entrepreneurship and Small Business David Watkins very busy. Watkins credited much of the state’s momentum to the launch of the READI program, along with corporate and federal support.
“I am particularly proud of those communities that chose to invest in entrepreneurship, to invest in innovation as part of their READI projects,” Watkins said. “The state is on an amazing upward trajectory, you might even call it momentum, as it relates to entrepreneurship and small businesses like never before.”
READI has grown to $1.25 million in its first two iterations, with two, $500 million allocations from the state budget and another $250 million from the Lilly Endowment Inc. The South Bend-Elkhart Region has received a cumulative $95 million. READI 1.0 funds were disbursed to 28 projects across Elkhart, Marshall and St. Joseph counties.
Highlighting the state’s spot as one of the most active seed investors in the entire world and research that showed companies less than five years old account for 74% of net new jobs in Indiana, Watkins made an appeal for continued investment in upcoming businesses.
“If we’re not investing in the people who want to start a company, we’re actually not investing in the net new jobs that will propel Indiana’s economy forward into the future,” Watkins added. “Any new company, getting started in a community, raises the median household income of that community almost immediately.”
In line with the state’s commitment to entrepreneurship, IEDC launched the state’s Legend Fund, a loan participation program designed to help entrepreneurs and small businesses gain access to funds for growth. Fueled by federal funding awarded through the State Small Business Credit Initiative (SSBCI), the fund will distribute $29 million to mission-driven local lenders to increase lending to historically underserved Hoosier small businesses.
“Just recently, we announced our latest round of community collaboration funds, which provide dollars to local organizations, co-working spaces, entrepreneur serving organizations to invest in their local version of entrepreneurship,” Watkins said. “This type of work matters. It will pay dividends, I have no doubt, for South Bend and the greater region for decades to come.”
Keeping with its mission to attract and grow new economy companies and spark opportunities for minorities and entrepreneurs, the South Bend-Elkhart Regional Partnership has been instrumental in steering ideas across the region from conception to reality.
“Spaces like this are crucial to our entrepreneurial ecosystem because they foster collaboration, creativity and the exchange of ideas. It’s exciting to see a tangible commitment to entrepreneurship and innovation in the South Bend Elkhart region,” CEO Bethany Hartley said. “When we co-locate entrepreneurs with investors, mentors and business support services, we build a dynamic environment where ideas are transformed into successful ventures and innovation is fast -tracked.”
Looking back on the mindset shift that had occurred in the region, South Bend Mayor James Mueller recalled a time when the city was waiting for saviors from the outside. Realizing there was no incoming cavalry was the region’s eye-opening moment, spurring them into action.
“We certainly have momentum in South Bend and the greater region now but we didn’t always have this momentum,” Mueller noted. “When this project was being formed, we didn’t have the investment in the Four Winds Field, we didn’t have a movement for bringing back train service to Union Station. None of those things were announced. None of those things were known at the time.”
Making investments in quality of place, entrepreneurship and ensuring residents have access to the opportunities such improvements create is top of mind for Mueller.
“Entrepreneurship is one way in which we connect ladders of opportunity to the entire community so we’re excited about that,” Mueller added. “We’re going to see a full transformation of this neighborhood in the matter of a few short years.”
Networking and investment opportunities are some membership perks Priemer and his team are still hashing out. Opportunity for collaborating with the different higher education institutions in the region is also being explored by the group.
“We’re standing at the beginning of something really special. Soon, this place will be where ideas and businesses are born, where people connect and where our community grows stronger,” Priemer said. “I can’t wait to see what the future holds and what amazing ventures will come from this space.”
The hub is expected to open by April 2025.