Posts Tagged ‘Alaska Structures’

Article courtesy of the Las Cruces Sun-News

By Brook Stockberger/Sun-News Business Editor

LAS CRUCES – “Las Cruces, manufacturing hub!”

Well, southern New Mexico’s largest city might not gain that moniker anytime soon, but the reality of an operating Spaceport America north of town and the start of construction on a $400 million Union Pacific Railroad facility south of town, has spurred increased interest in Las Cruces among manufacturing and logistics companies.

According to a recent quarterly report, the Mesilla Valley Economic Development Alliance says that 65 percent of all new leads are in the manufacturing sector.

“This is a great area to be growing in because manufacturing/logistics generally involves paying local people and local suppliers to make things that people outside the region pay for,” said Christine Logan, economic development administrator for the city of Las Cruces.

L&M Radiator and Alaska Structures both moved into town and created manufacturing jobs. That was welcome news that came on the heels of a stretch last decade in which Las Cruces lost Parkview Metals, Rea Wire Magnet Wire and manufacturing jobs with Taylor Precision Products. “Both of these companies moved from El Paso to Las Cruces,” Logan said. “A big factor was that we had facilities here that they could move into and expand their operations. A recurring theme in the city’s economic development efforts has been the need for existing industrial space.”

Minnesota-based L&M had a facility in El Paso, but outgrew that location and turned its eyes north across the state border. “Our business has seen a tremendous amount of growth over the last year,” L&M Radiator President Dan Chisholm said when the company decided to move. L&M, which makes cooling systems for heavy machinery, is leasing about 52,000 square feet of manufacturing and warehouse space on South Valley Drive.

In addition, TE Connectivity, an electronics component manufacturer, will relocate 100 jobs to its Santa Teresa plant from El Paso. “In the next three years, we’re hoping those 100 jobs grow to 250,” said Jerry Pacheco, vice president of the Border Industrial Association.

According to the city’s most recent economic development report, the manufacturing business category makes up just 1 percent of the businesses and 4 percent of the jobs.

Still, Davin Lopez, president and CEO with MVEDA, said that the area is increasingly showing up on companies’ radar. MVEDA works to bring companies to Doña Ana County and to help those already here expand. “We continue to see manufacturing leads increase as a percentage of total leads developed,” Lopez said. “This category also includes logistics companies. Whereas this category accounted for approximately 39 percent of all leads in the last fiscal year, we have seen it grow to 65 percent of in the first quarter of this year.”

Both Logan and Lopez said that the Union Pacific facility in Santa Teresa plays a major role. “Over the past 12 to 18 months, we have received greater interest from manufacturing and logistics firms due to the Union Pacific announcement,” Lopez said. “A $400-million-plus investment catches attention both regionally and nationally.

“It has enabled us to not only showcase opportunities in and around the Santa Teresa region but also to bring greater attention to the Las Cruces region where we happened to have existing facility space that fits the needs of some of these companies,” he said.

“We are getting more attention lately because, No. 1, we had vacant facilities to accommodate companies,” Logan said. “No. 2, there is pent-up demand for manufacturing space since no one wanted to expand or relocate in the worst of the economy and, No. 3, the proximity to the Union Pacific intermodal facility makes this a great place to locate a manufacturing facility.”

Brook Stockberger can be reached at (575) 541-5457

It is with a great deal of excitement that I present to you MVEDA’s First Quarter results of the 2011-’12 Fiscal Year.  It seemed it would be very difficult to match the performance level and results of our last fiscal year, one of MVEDA’s best years ever.  In the last fiscal year we experienced our second best year ever in terms of job creation.  It was by far our best year ever in terms of capital investment made into the region.  Additionally, it was our best year ever in terms of average salaries created which is a direct impact on wealth creation for the region and its residents (please see attached FY 11 Annual Report).   But if this first quarter is any indication of how the rest of the year will proceed then we will have just as much success to look forward to and with great anticipation.

Let me first start off by saying that the “job” of job creation in economic development takes an organized and consolidated approach and it requires the efforts of many groups working together.  In this respect I want to recognize all the team players that make this possible here in Doña Ana County.  They include the New Mexico Economic Development Department, the New Mexico Partnership, the Border Industrial Association and of course our partners at both the City of Las Cruces and Doña Ana County.  They also include our educational and training partners at NMSU and DACC.  And of course it takes the support of all of MVEDA’s private sector partners.

COMPLETED PROJECTS AND SUMMARY OF ACTIVITY

As of September 30, 2011, MVEDA has assisted in the creation of two new locates representing 279 new jobs to Las Cruces.  They include:

• Vangent, a back office support center based in Arlington, VA.  The company announced the decision in early July of this year and have currently hired over 90 employees to date.
• L&M Radiator, a manufacturer of industrial radiators that recently relocated out of El Paso to Las Cruces.

With these two locates, we are far ahead of production levels compared to this same time last fiscal year in terms of project completion, square footage absorption, employment numbers and capital investment.

MARKETING & BUSINESS DEVELOPMENT

As a result of the several locates that have taken place over the last nine months, the MVEDA staff had spent considerable time and energy in project management functions.   Entering the new fiscal year, we have now returned our focus to the marketing efforts of the organization and the re-building of our project pipeline.  Although lead and prospect generation is slower year-to-date compared to this same time last fiscal year, we are once again beginning to see new opportunities.

We have been quite aggressive in our marketing efforts and reaching out to target markets where we believe there is potential for near term growth opportunities.  At MVEDA’s Board Strategic Planning Retreat in June, the staff outlined the following primary targets:

• Unmanned Aerial Vehicles/Systems (UAV/UAS):  The Las Cruces International Airport is the only municipal airport in the US where UAV’s can be tested in the public airspace.  Along with the expertise in systems operations provided by the Physical Science Laboratory, the Las Cruces region becomes a unique opportunity for UAV companies seeking to not only test but to conduct R&D and assembly operations.

• Logistics & Warehousing:  The announcement of Union Pacific this past fiscal year affords us incredible future growth opportunities and we are taking steps to position ourselves for success in this area.

• Renewable Energy:  Over the past 12 months, MVEDA and the region have experienced tremendous success in the development of solar projects.  We continue to aggressively seek out opportunities in this area.  However, we are seeing a shift in new interest from bio-mass companies exhibited by the growth in research in new fuel related agricultural crops.

• El Paso Market:  Over the last 18 months, Las Cruces and Doña Ana County have benefited greatly from growth pressures in El Paso that are squeezing the industrial base.  Early results have included Alaska Structures and L&M Radiator expanding into Las Cruces as well the recent announcement of TE Connectivity’s consolidation into Santa Teresa.

This quarter, we have also participated in prospect trips to Chicago, Boston, Washington DC and San Francisco.   More recently MVEDA also participated in Virgin Galactic’s Industry Day at Spaceport America and the ISPCS conference.

As evident from the above, we are experiencing renewed growth and interest in the region, primarily in the manufacturing sector.  Eighteen months ago, the City of Las Cruces had over 360,000sf of industrial space sitting idle.   Of that space, 300,000sf is now occupied by Alaska Structures in our West Mesa Industrial Park.  Vangent has taken over the former Frontier Airlines reservations center and L&M now occupies the former Multi-Plastics facility.

The Union Pacific project at Santa Teresa further positions Doña Ana County to be a major hub for future distribution and logistics companies.   More recently, but falling within our 2^nd Quarter activity, TE Connectivity officials along with Governor Susana Martinez announced their plans to consolidate their operations in Santa Teresa thereby making their Doña Ana County facility their largest North American distribution center.  We also expect one to two more announcements before the end of the calendar year.

Again, we cannot accomplish our goals without the support of our partners and stakeholders.  We thank each of you for your continued support and we look forward to continuing the mission of job creation for Doña Ana County and New Mexico.

Davin Lopez

President and CEO

Mesilla Valley Economic Development Alliance

Article courtesy of the Las Cruces Bulletin

On Thursday, Aug. 11, the Mesilla Valley Economic Development Alliance met with community members to discuss the 2010-11 fiscal year for the organization.  Though the economy may be in distress, MVEDA showed growth in the Mesilla Valley.

“I am proud to present the results of MVEDA’s 2010-11 fiscal year, which by almost all accounts has been a record setting year,” said Davin Lopez, president and CEO of MVEDA. “Not only has it been MVEDA’s second-best performing year in terms of job creation and square footage absorption, but the organization also far exceeded any past operating year in terms of capital investment and wealth creation.”

Charged with bringing companies to the Mesilla Valley and increasing the wealth of Doña Ana County, MVEDA works with other entities such as the City of Las Cruces, Doña Ana County, local chambers of commerce as well as a diverse group of leaders from the business community.

“With an additional three solar projects in Doña Ana County with total investments upwards of $100 million, a recent groundbreaking for a major multi-unit residential development in Santa Teresa, and the future industry potential that Spaceport America offers, should make us all stop and wonder whether or not national headlines are accurate … or, at the very least, relevant to our region,” Lopez said.

Over the past fiscal year, 45 companies actively looked into relocating to Las Cruces with several of them completing the process and moving into vacant buildings. Some of these companies include Vangent, Samson, NRG, L&M Radiator, Products USA and NextEra Energy.

In early June, MVEDA hosted an open house for L&M Radiator, a manufacturer that recently announced its move to Las Cruces. L&M plans to transfer or hire more than 100 employees, Lopez said.

“Less than a year ago, Alaska Structures expanded in Las Cruces’ West Mesa Industrial Park and now occupies more than 300,000 square feet in two facilities and employs more than 300 workers,” Lopez added.

The year generated more than 580 jobs, contributed to more than 270,000 square feet in commercial real estate absorption, with capital investments totaling more than $540 million. The average salary for the new jobs exceeds $47,000 per year, which is almost 28 percent above average wages for Doña Ana County.

Since January 2003, through the most recent fiscal year, MVEDA has assisted in the expansion or location of 68 projects in Doña Ana County – including Union Pacific – creating more than 3,200 jobs with an annual payroll in excess of $96 million.

Article courtesy of the Las Cruces Sun-News

By Brook Stockberger/Sun-News Business Editor

LAS CRUCES – Manufacturing is not dead. That was the message Davin Lopez, president and CEO of the Mesilla Valley Economic Development Alliance, gave a breakfast audience at Hotel Encanto de Las Cruces on Thursday. MVEDA’s annual breakfast allows the private/public entity to give report for the recently completely fiscal year.

“It’s a tough time to talk about the economy,” Lopez said. “(And) we’ve been feeling it for the last couple of years.”

Still, the economic development group reports that lead development remains strong and there has been a “significant” jump in terms of manufacturing.

“Almost 45-percent of our leads are in manufacturing and logistics,” Lopez said. “We are hearing that heavy manufacturing is coming back to America.”

He pointed to the addition of Alaska Structures at the West Mesa Industrial Complex. The Anchorage-based company which makes shelters for the military as well as commercial customers, moved into a 184,000-square foot building that used to house Rea Magnet Wire, and also uses about 100,000 square feet at the previously empty building at 8500 Mountain Vista Parkway where Parkview Metal Products used to reside.

“If you think back 12 to 18 months ago, think of all those facilities sitting vacant,” Lopez said.  In fact, he said the Las Cruces area could use more spec buildings. “The biggest challenge we have going forward is we need more buildings,” Lopez said.

In addition, capital investment has jumped considerably in Dona Ana County, spurred by the recently begun Union Pacific Railroad project in Santa Teresa, but also ahead of the pace of the past several years even without Union Pacific.

New officers

Gary Lenzo with Century Bank is MVEDA’s chairman of the board as the new fiscal year begins, stepping in for Citizen’s Bank’s George Ruth, who will now serve as past chairman of the board.  ”I have some big shoes to fill,” Lenzo said.

In addition to Lenzo and Ruth, other officers include: Vice Chair Kiel Hoffman, Pioneer Bank; Secretary Dolores Connor, City Councilor; Treasurer Jim McGonnell, Memorial Medical Center; Executive Committee Member at Large Jack Darnall, Verde Realty.

Bryn Davis, New Mexico operations manager for Sapphire Energy and former past chairman of the board, was presented with a special award for all the work he has performed for MVEDA through the years.  ”I know I’m on the phone with him a lot,” Lenzo said.

Brook Stockberger can be reached at (575) 541-5457.

Photo courtesy of Davin Lopez

New Mexico Governor Susana Martinez and Economic Development Secretary Designee Jon Barela were warmly welcomed by Alaska Structures (AKS) as the Governor and the Secretary toured the facility and addressed the employees.  In 2010, Alaska Structures expanded from approximately 70,000 sq. ft. of space to over 250,000 sq. ft. of space at the City of Las Cruces West Mesa Industrial Park, occupying both the former REA Magnet Wire building as well as the former Parkview Metals building.  Since their expansion they have grown from approximately 170 employees to over 300.

Photo courtesy of Davin Lopez

Addressing the employees, the Governor expressed her commitment to getting all New Mexicans who want to work the opportunity to work and that economic development was a primary goal of her administration.  “This is definitely a company we want to brag about!” commented the Governor.  Commenting to the Governor, Davin Lopez stated  “Just a year ago this facility was vacant. Now you walk through it and it’s bustling with employees back in the work force.  Alaska Structures is truly a success story for Las Cruces.”

AKS designs, engineers and delivers survivable fabric building systems for extreme environments. Since 1975, AKS products have been used for nearly every building application in every part of the world: United Nations’ disaster relief facilities, military housing facilities, aviation hangars, convention centers, medical complexes, warehouses, mining and manufacturing facilities, film locations, theaters, incarceration complexes, housing, retail outlets, hotels, as well as many other applications large or small, remote or otherwise.