Saginaw County receives state transportation grant to benefit Frankenmuth’s new business park, future home of Kremin Inc.
FRANKENMUTH, MI — Saginaw County has received a $210,000 state transportation grant for improvements to M-83, off of which Frankenmuth’s new business park and the future home of Kremin Inc. is located
Kremin, currently located in Saginaw Township, is investing $2 million to build a 19,000-square-foot facility in the new business park off M-83 and to purchase new machinery. The machine shop also plans to add about 25 full-time employees in the next two years.
“The expansion of Kremin and influx of new jobs for local families is further evidence that Michigan is slowly beginning to recover economically,” state Rep. Tim Kelly, R-Saginaw Township, said in a prepared statement. “The transportation grant also illustrates how the state can work effectively with local job providers to encourage economic development.”
The $210,000 state grant will help widen turn lanes and flares on M-83, according to a news release. The proposed project will extend the center-left turn lane 200 feet north. Additional work includes widening M-83, enclosing a drainage ditch, and installing an elliptical storm sewer, the release states.
The city of Frankenmuth also is contributing $70,000 in a local match.
Saginaw County is among four Michigan counties receiving the state transportation economic development grants to support the creation and retention of 563 jobs, the Michigan Department of Transportation announced in a news release. Other counties receiving the grants are Ionia, Monroe and Tuscola counties.
“This program represents a successful partnership between MDOT, local units of government and county road commissions that is focused on attracting major companies to invest and expand in Michigan and create employment opportunities for Michigan workers,” State Transportation Director Kirk T. Steudle said in a prepared statement.
Mike Grossi and his business partner, Bryce Moe, purchased Kremin in November 2010. At the time, it was operating as a detail shop with 11 employees. They saw an opportunity.
“Really with the vision of growing an advanced-manufacturing business,” Grossi told The Saginaw News earlier this year. “We saw the need in the area for another high-performance, high-precision machine facility.”
Grossi declined to name specific customers, but said Kremin does a lot of work in the aerospace, defense and the automotive industries.
Kremin also sells parts called tool holders that hold cutting inserts used by the dimensional stone industry to cut granite counter tops, for example. That product accounts for about 35 percent of Kremin’s business, Grossi said.
Construction of Kremin’s new facility, to be located at 235 Keystone Way, began in late-September. The total project, including equipment, is expected to cost about $1.8 million, he said.
They plan to start moving into the new facility in March or April. They’ll continue to work from their facility in Saginaw Township for a while, but eventually consolidate in the Frankenmuth location.
“The new facility will give us a lot more space. We can’t really get anything else in here,” Grossi said during a tour of the existing 9,000-square-foot facility located at 2926 Universal Drive. “We’ve added a lot of new equipment, we’ve really diversified our customer base. We’ve got about 47 customers now.”
Kremin’s growth has placed it among the nation’s fastest-growing private companies, according to Inc. magazine. Kremin is listed as No. 2,163 on Inc.’s 7th annual 500|5000 list. Others on this year’s list include LivingSocial, Edible Arrangements, CDW and Lifelock.
Kelly added, “Kremin will be the first of hopefully many small businesses that locate to the new park. The new jobs and growth are welcome news to everyone.”
— Heather Jordan covers business for MLive/The Saginaw News/The Bay City Times. She can be reached at 989-450-2652 or email@example.com. For more business news, follow her on Twitter and Facebook
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