Wood furnishings hardware manufacturer Knape and Vogt Mfg. Co., which also designs and distributes functional hardware and closet and home organization storage accessories, will invest over $1 million in a plant to move production from Asia to the U.S. KV received tax credits from the Michigan Economic Growth Authority (MEGA) for investing in its Grand Rapids location.
Knape and Vogt will spend $1.24 million in expanding drawer slide manufacturing capability, which will allow the company to in-source these products instead of purchasing from third-party Taiwanese suppliers.
KV is also consolidating the operations of recently purchased closet and home organization hardware manufacturer John Sterling Corp. from Illinois and Wisconsin to Grand Rapids. John Sterling employees with certain skill sets will be offered the opportunity to relocate. This move is expected to be completed by the end of 2011.
âThe John Sterling consolidation leverages our existing Grand Rapids manufacturing base but, more importantly, allows us to more effectively service our customers and sell the combined companiesâ product lines as one organization to drive future growth for our business.â
Approximately 100 direct new jobs are projected to be created as a result of the investment for a tax credit of nearly $335,409 over the next five years. Also, the City of Grand Rapids will provide property tax abatement incentives over the next 12 years.
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