Reported Record $615 Million Capital Investments Underway in the Belvidere/Boone County Enterprise Zone

Growth Dimensions reported that over the past year 42 projects were certified in the Belvidere Boone County Enterprise Zone with a total capital investment projection of nearly $615 million that is expected to create at a minimum 240 jobs and retain 2000 jobs.

The largest contributor to this total is Chrysler Group's announced investment of over $600 million in its Belvidere Assembly Plant to support the production of future models in 2012. The project remains to be the largest industrial capital investment project in the state of Illinois over the past year.  The investment includes the construction of a 660,000 square-foot body shop as well as the installation of new machinery, tooling and material handling equipment. Work on the expansion began summer of 2010 and will be completed in 2011.

500,000 sq. ft. of industrial building space has been leased and under contract

Over 500,000 sq. ft. of industrial building space is now leased or under contract and off the market in Belvidere, occupied by companies expanding and locating to the area.  Four new (unannounced) Chrysler suppliers are moving in and setting up shop in Belvidere.  As of today, the total capital investment and associated job numbers of the suppliers have not been released. Construction and site preparation is beginning on an additional 100,000 sq. ft. industrial building in Townhall Industrial Park, with plans being considered for yet another 100,000 sq. ft. industrial building this year. 

Three new non-Chrysler related companies located have set up operations in Belvidere including: 

• Wema Vogtland America
• New Breed Logistics
• Spirit CDL Training Corporation

Notable expansions this year at:

• Americold (Versacold)
• SwedishAmerican Medical Center/Belvidere

The announcement of the recent Chrysler expansion project brought great optimism for helping stabilize our regional economy and provide a strong surge toward recovery.  The total impact of retaining Chrysler's operation is much higher than the 2000 jobs recorded with the Enterprise Zone Program.  Northern Illinois University Center for Governmental Studies completed an economic impact analysis using 2009 input data and produced the following results. Results are a based upon direct and indirect impacts.

Value added is wealth created by business in employee compensation (wages and benefits), rent, interest, taxes, and profit paid or earned (direct and indirect).

Output represents the value of an industry's business activities including sales that are both direct and indirect.

·       Industries with the greatest indirect output impacts include:  

-      $4.5 million in real estate

-      $2.2 million in insurance carriers and related

-      $1.9 million in professional, scientific and technical    

         services

-      $1.7 million in wholesale trade

-      $1.3 million in administrative and support services

-      $1.2 million in monetary authorities

-      $1.2 million in ambulatory healthcare

-      $1.1 million in food services and drinking places

Growth Dimensions represented the region's economic development efforts during the competitive negotiations with Chrysler and the State of Illinois.  The organization is beyond pleased that their competitive efforts paid off when the automotive company chose to retain expand its operation in Belvidere-Boone County.

Growth Dimensions Initiatives Remain Strong

AgTech Initiative

The New Uses AgTech Initiative is partnering with the Center for Automotive Research to research the integration of biobased materials into the automotive supply chain.  New plots of Conola have also been planted to test for alternative crops and General Mills planted miscanthus. Significance of this move on the part of General Mills is that there is much interest in miscanthus as a bioenergy crop since it has a number of desirable attributes. The General Mills company has shown initiative in establishing this plot locally to build confidence and gain familiarity with the planting process and growth characteristics of miscanthus.  AgTech has been meeting with their sustainability team to explore new use opportunities for the miscanthus crop when it matures in 2-3 years.

Tollway Station Point Initiative

Despite the reversal of the decision to bring Amtrak through Belvidere, Growth Dimensions' Tollway Station Point remains an active Initiative.  Even though there are various challenges to contend with, the region continues to work towards obtaining commuter rail.  The Belvidere-Boone County land use plan was developed with and without rail scenarios at the Irene Road Irene Road Interchange.

Efforts are now focusing on Express Bus Service at the Belvidere Oasis for the short term to help establish commuter patterns and provide transportation access to employment centers and transportation destinations east toward Chicago.