Home » 'Transformational' LG expansion could bring 1,000 jobs to Holland by 2025 – HollandSentinel.com

'Transformational' LG expansion could bring 1,000 jobs to Holland by 2025 – HollandSentinel.com

by Arifa Rana

HOLLAND — West Michigan has won a significant manufacturing expansion, assuming the plan is approved by Holland City Council.
According to city documents, council will schedule a public hearing next week for a proposed expansion of LG Energy Solutions off 146th Avenue. The development would create 1,000 skilled, well-paying jobs by 2025, spread over 1 million square feet and $1.5 billion of investment.
Because the facility would use a significant amount of the Holland Board of Public Works’ existing electric capacity, HPBW plans to construct a $10 million substation nearby.
According to documents, the Michigan Economic Development Corporation, local economic development agency Lakeshore Advantage, HBPW and the city have been actively working with LG to proceed with the expansion, despite other communities “both in and out of the state” vying for the project.
“We are very grateful for LG’s long-term partnership and employment in our community,” said Jennifer Owens, president of Lakeshore Advantage. “An international leader in advanced energy storage considering our region for a transformational expansion project like this is truly extraordinary.
“Our community’s manufacturing expertise, reliable and affordable public utility system and business-friendly local government continue to make a strong business case. We are extremely grateful for the city of Holland, Allegan County and (the) Michigan Economic Development Corporation’s partnership on this project. If the public review and approvals are successfully completed, our entire community will have much to celebrate.”
Holland City Council will first consider creating a Renaissance Zone for the project. If approved by the city and the state, no non-debt local property taxes would be paid until the last three years of the 12-year term, at which time, taxes would be phased back at 25 percent increments. The existing facility was approved for a Renaissance Zone in 2010, and will return to the tax roll completely in 2026.
In addition to the Renaissance Zone, the state would offer a package of incentives totaling $525 million and a Workforce Housing Loan Program worth $10 million, administered by the state and used specifically in the Holland region to support affordable housing.
“Thanks to this investment, we will be able to scale the business and further elevate the art of storytelling, creating even more opportunities for the surrounding communities and stakeholders in Michigan,” the company wrote to Gov. Gretchen Whitmer in a letter announcing the decision in early December.
The letter added the facility has “a significant meaning to our business” as it “stands at the forefront among our production facilities” in the United States.
LG has partnered with General Motors and Stellantis to create batteries for electric vehicles, which have become a major point of focus for carmakers during the COVID-19 pandemic. The expansion announcement in Holland is a step toward Michigan retaining its status as the automotive hub of the U.S.
— Contact reporter Cassandra Lybrink at cassandra.lybrink@hollandsentinel.com. Follow her on Instagram @BizHolland.

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