Grede Holdings, LLC, broke ground on January 14 on an expansion of their St. Cloud foundry, located at 5200 Foundry Circle. The expansion is targeted to be operational by the fall of 2015 and is expected to add up to 30 jobs. Grede will add approximately 32,000 square feet to their current facility and install an additional melt furnace. The total cost of the project is estimated in excess of $17.5 million.
The Greater St. Cloud Development Corporation (GSDC) has been assisting Grede with their expansion for the past several months. Grede and GSDC have been working cooperatively with the City of St. Cloud and the State of Minnesota’s “Minnesota Business First Stop” program to obtain all necessary permits from the Minnesota Pollution Control Agency (MPCA) in order to proceed with construction. Minnesota’s Department of Employment and Economic Development (DEED) is assisting Grede with training and economic assistance on this project.
“I’ve had the pleasure of working with John Haas and the folks at Grede on multiple occasions since the foundry first came to St. Cloud in 1995 and put the vacant Brown Broveri Turbomachinery property back into productive use,” said Patti Gartland, GSDC president. “We’re delighted to have Grede as an investor in GSDC and to have been their first point of contact in helping them attain corporate and various permitting approvals to move forward with this exciting expansion.”
According to St. Cloud Mayor Dave Kleis, "We are excited about Grede's expansion in St. Cloud bringing additional jobs, tax base, and opportunity to the community. Grede's decision speaks volumes about the quality of their local staff and the region's workforce."
“Minnesota Business First Stop is working just as we’d hoped,” said MPCA Commissioner John Linc Stine. “It shows again, that coordinating Minnesota’s business “know-how” and MPCA’s expertise at protecting our environment can work together on an efficient timeline.”
John Hass, general manager of Grede’s St. Cloud foundry, commented, “The cooperation between Grede, GSDC, the City of St. Cloud, and agencies from the State of Minnesota has allowed us to proceed at an accelerated pace on this project. For instance, we worked very closely with the Minnesota Pollution Control Agency and were able to complete the approval of the environmental permit to meet our desired timelines. Everyone in these organizations stepped up to allow this project to move forward quickly. We greatly appreciate their assistance.”
The Contractor on the project will be Strack Construction of St. Cloud. The Engineering and Architectural firm will be Excel Engineering based in Fond du Lac, Wisconsin.
Grede, a Metaldyne Performance Group (MPG) company, specializes in high-quality ductile iron, gray iron and specialty irons for the transportation and industrial markets. The St. Cloud foundry melts up to 200,000 tons of metal each year and produces in excess of 85,000 tons of castings per year. The St. Cloud plant is a high volume producer of ductile iron primarily serving the automotive markets. The plant currently employs over 330 people. Grede is noted for their safety record and producing high-quality parts.
About the Grede Holdings, LLC.
Grede Holdings LLC, an MPG, Inc. company, was formed in 2010 through the combination of assets of the former Grede Foundries, Inc., and Citation Corporation. With estimated annual revenues exceeding $1 billion, the Grede legacy dates to 1920 when William J. Grede founded Grede Foundries, Inc. with an iron foundry in Wauwatosa, Wisconsin. With headquarters in Southfield, Michigan, the company specializes in high quality ductile, gray and specialty iron castings, including lost foam and high silicon molybdenum applications. Grede Holdings LLC has 4,600 employees and operates 14 foundries and three machining operations in North America serving the transportation and industrial markets globally. Learn more at www.grede.com.