Two established companies, 1 newcomer plan new facilities

CEDAR RAPIDS – Two established Cedar Rapids companies affected by the 2008 flood announced plans to build new facilities, while a third company that would be new to the area announced plans to locate a new operation there.

In three announcements today by Priority One, the economic development division of the Cedar Rapids Area Chamber of Commerce, Raining Rose Inc. and Intermec Inc. announced plans for new buildings. AgSugar International Inc. also announced plans to construct a facility that would introduce it to the area.

Raining Rose Inc. has applied for state and local funds to assist with the proposed construction of a two-story, 122,000 square-foot manufacturing facility at 3015 First Ave. SE in Cedar Rapids. The new building would replace its existing facility at 407 Ninth Ave. SE, as well as leased space at other buildings.

“We’re currently spread out over three separate locations,” said Chuck Hammond, president and CEO of Raining Rose, in a press release. “Being under one roof will allow for even greater productivity and improved customer service.”

Raining Rose’s current location was hit hard by the flood of 2008, taking on more than eight feet of water. The company plans to demolish an old Allis Chalmers manufacturing building and construct a new facility.

Raining Rose employs 97 people in Cedar Rapids. The expanded plant capacity is expected to result in a significant increase in jobs at the company over the next three years.

Intermec Inc. has applied for state and local funds to assist with the proposed construction of a two-story, 78,000 square-foot facility at 601 Third St. SE in downtown Cedar Rapids.  The new building would replace its existing facility at 550 Second St. SE.

“As Intermec continues to review its global footprint, it is clear that Cedar Rapids is a strategic location for skilled workforce,” said Pat Byrne, president and CEO, in a press release. “We are excited for the opportunity to provide our employees a new world-class design and test center.”

The building would be the first private sector construction project in downtown Cedar Rapids post-flood.

Cedar Rapids Mayor Ron Corbett praised both companies for their support of downtown.

AgSugar International, an industrial biotechnology company specializing in the manufacture of equipment for bio-based materials, has applied for state and local funds to assist with the proposed construction of a manufacturing facility, data center and executive office at 1129 Wenig Rd. NE in Cedar Rapids.

The proposed manufacturing facility would develop cellulose conversion modules – equipment that can convert cellulose to soluble sugars pure enough for fermentation.

The project represents $1.4 million in capital investment, and will create 24 jobs over the next three years.

Priority One is assisting all three companies with the application process for funding; the Entrepreneurial Development Center also is assisting with the AgSugar project.

All three projects are contingent upon formal approval of state and local incentives, including tax credits and indirect financing.