Innovative Construction Group, LLC, an off-site construction services company serving developers, general contractors, and professional builders, expects to establish a new manufacturing facility in Chatham County and the Town of Siler City. The company plans to make a capital investment of approximately $39.8 million which will create, they believe, as many as 157 jobs over the next five years.
"North Carolina’s growth and reputation as an excellent place to do business continues to attract great companies to the state,” said North Carolina Governor Roy Cooper. “Our manufacturing workforce, combined with the world-class training programs that support those workers, help companies succeed in North Carolina.”
Innovative Construction Group (ICG) serves building professionals focused on single-family, multi-family, and commercial construction projects. The company provides design services, manufactures wall panels, roof trusses and floor systems, and offers on-site installation to provide a full frame shell construction process. The company’s new facility in Siler City will add to the company’s current manufacturing capacity. It will include opportunities for production and woodworking personnel as well as for logistics and maintenance roles.
“Innovative Construction Group joins North Carolina’s business community at a time of strong growth and opportunity,” said Commerce Secretary Machelle Baker Sanders. “Just as this company is investing in our state, we must continue to invest in the public education and workforce training systems that are the building blocks of economic growth in North Carolina.”
The North Carolina Department of Commerce led the state’s support for the company during its site evaluation and decision-making process.
Although wages will vary depending on the position, the average salary for the new positions in Chatham County will be $52,949. The current average wage in Chatham County is $50,302. These new jobs could create an annual payroll impact of more than $8.3 million for the region when the facility reaches full operations in 2029.
ICG’s project in North Carolina will be facilitated, in part, by a Job Development Investment Grant (JDIG) approved by the state’s Economic Investment Committee earlier today. The project’s plans are also subject to receiving local incentives approvals and finalizing real estate negotiations. Over the 12-year term of this JDIG, the project is estimated to grow the state’s economy by $463.2 million. Using a formula that considers the new tax revenues generated by the new jobs, the JDIG agreement authorizes the potential reimbursement to the company of up to $873,750, spread over 12 years. State payments only occur following performance verification by the Departments of Commerce and Revenue that the company has met its incremental job creation and investment targets.
The project’s projected return on investment of public dollars is 92 percent, meaning for every dollar of potential cost to the state, the state receives $1.92 in state revenue. JDIG projects result in positive net tax revenue to the state treasury, even after considering the grant’s reimbursement payments to a given company.
Because ICG chose a site in Chatham County, classified by the state’s economic tier system as Tier 3, the company’s JDIG agreement also calls for moving $291,250 into the state’s Industrial Development Fund – Utility Account. The Utility Account helps rural communities finance necessary infrastructure upgrades to attract future business. Even when new jobs are created in a Tier 3 county such as Chatham, the new tax revenue generated through JDIG grants helps more economically challenged communities elsewhere in the state.
“Many people and organizations came together to make today’s decision possible, but we know the work is just beginning,” said N.C. Representative Robert Reives. “All of our local, regional, and state partners will continue to support ICG as this company ramps up its operations in North Carolina."
Partnering with the North Carolina Department of Commerce and the Economic Development Partnership of North Carolina on this project were the North Carolina General Assembly, the North Carolina Community College System, the North Carolina Department of Transportation, the North Carolina Railroad Company, Commerce’s Division of Workforce Solutions, Duke Energy, Norfolk Southern, Chatham County, the Town of Siler City, and the Chatham Economic Development Corporation.