MI: Rec Boat Holdings to Invest $4.8M to Expand, Hire 135 in Cadillac
9 May, 2013
Gov. Rick Snyder applauded Rec Boat Holdings for the expansion of its boat manufacturing operations in Cadillac, thanking the company for its continuing investments in Michigan and for bringing 135 new jobs to the state.
“This expansion represents the outstanding work of the entire Rec Boat Holdings team and its continued commitment to our state,” Snyder said. “Michigan is the comeback state and the new jobs resulting from RBH’s expansion will keep us moving in the right direction.”
Rec Boat Holdings manufactures and sells boats under the brand names Four Winns, Glastron, Scarab and Wellcraft. The company plans to launch a new jet boat line by acquiring some assets of an existing company and expanding its existing operations in the City of Cadillac. RBH will invest approximately $4.8 million in building renovation, equipment purchases and special tooling and add 135 new boat manufacturing jobs for the project.
As a result of the expansion, the Michigan Strategic Fund has awarded the company a $1 million Michigan Business Development Program performance-based grant. The City of Cadillac has offered support to the project in the form of 12-year property tax abatements valued at $63,000.
"We are very pleased with the collaboration the State of Michigan has demonstrated throughout the whole process," Rec Boat Holdings Group President Roch Lambert said.
“Rec Boat Holdings is a leading boat manufacturer and an important employer in Cadillac. This expansion will further strengthen its Michigan presence and provide additional good jobs for years to come,” said Michigan Economic Development Corporation President and CEO Michael A. Finney. “The company’s decision to expand in Michigan is a strong statement about the great opportunities that, thanks to our business climate improvements, Michigan now offers to growing companies.”
Signed into law by Governor Rick Snyder in December, the Michigan Business Development Program provides grants, loans and other economic assistance to qualified businesses that make investments or create jobs in Michigan, with preference given to businesses that need additional assistance for deal-closing and for second stage gap financing.
The MSF will consider a number of factors in making these awards, including: out-of-state competition, private investment in the project, business diversification opportunities, near-term job creation, wage and benefit levels of the new jobs, and net-positive return to the state. Business retention and retail projects are not eligible for consideration of these incentives.
The Michigan Business Development Program replaces the state’s previous MEGA program that was a feature of the Michigan Business Tax that was eliminated under business tax restructuring legislation approved and signed into law by Snyder in May 2011.
The MEDC markets the state with a focus on business, talent, jobs and helping to grow the economy. For more on MEDC and its initiatives, visit: MichiganAdvantage.org.