Sub-Zero Group Inc., a company that manufactures high-end kitchen appliances, will construct a 400,000-square-foot light manufacturing plant in Cedar Rapids, Iowa. The $140.6 million project is expected to create 192 jobs.
The company will start construction on the new facility in August 2023, with completion planned for September 2025, according to local officials. The investment includes real estate and construction and machinery and equipment.
“We have reached the point that our three main sites are burgeoning and full, so we are seeking a new location to add to our footprint for the next leg of our journey. It’s just a phenomenal fit for us and you,” said Scott Wareing, senior vice president of operations and product design.
According to the Iowa Economic Development Authority (IEDA), the board awarded the project a $1.135 million forgivable loan and tax benefits through the HQJ program. 127 of the 192 created jobs are incented at a qualifying wage of $24.20 per hour.
In addition Cedar Rapids City Council approved a term sheet for a 20-year, 75-percent tax exemption. The estimated value of the incentive is $15.4 million. Tax abatement is subject to maintaining employment threshold, which could be reduced if employment threshold is not maintained.
“So many people are involved in an effort like this,” added Doug Neumann, executive director at the Cedar Rapids Metro Economic Alliance. “Congratulations to all on this success. It demonstrates again the importance of constantly pursuing business attraction and business expansion projects to keep our economy marching forward.”
In 2000, Sub-Zero introduced Wolf cooking appliances, bringing professional temperature control into the hands of home cooks with an impressive fifty-product launch. And in 2018, the company introduced Cove dishwashing, the culmination of decades of research, testing, and technology to ensure sparkling clean and dry dishes with every wash.