Consultants Forum Advertise
Subscribe
Close

  • Free for qualified executives and consultants to industry

  • Receive quarterly issues of Area Development Magazine and special market report and directory issues

Subscribe Now
Renew

Area Development - Site Selection, Facility Planning and Workforce Development

Lexair Expands Lexington, Kentucky, Manufacturing Complex

03/17/2023
Lexair Inc., a company that manufactures machine tool products, commercial hydraulic and pneumatic control valves, will expand its operations in Lexington, Kentucky. The $8.5 million project is expected to create 14 jobs.

The 35,000-square-foot expansion will allow for additional space to house manufacturing assets from Keystone, an Emerson brand, for the U.S. Navy markets. These assets include intellectual property licenses for technology that are trademarked by Emerson.

“We are going back to our roots with this acquisition,” said Lexair President Wes Allen. “We started as a defense contractor 45 years ago, and these products are very synergistic to our current operations. This expansion provides for the future viability of Lexair, benefiting its customers, employees and community for many years to come.”

To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority approved a 10-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $300,000 in tax incentives based on the company’s investment of over $8.5 million and annual targets of creation and maintenance of 14 Kentucky-resident, full-time jobs across 10 years, and paying an average hourly wage of $41.97 including benefits across those jobs.

By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.

“A key aspect of building a strong economic foundation is having homegrown companies, ones founded and built right here in the commonwealth, find success and thrive,” noted Governor Andy Beshear. “Lexair has been a staple in Kentucky’s manufacturing industry for over four decades, and I am thrilled to see them continue to grow and believe in what Kentucky has to offer. I look forward to their continued success here in the commonwealth.”

In addition, Lexair can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.

“For many years, Lexair has provided excellent customer service, product engineering, component machining and manufacturing right here in Central Kentucky,” added Bob Quick, president and CEO of Commerce Lexington.

Lexair was founded in 1977 as a manufacturer of high-pressure compressors and stainless steel valves for the U.S. Navy. In 1985 the company acquired all rights to the hydraulic and pneumatic valve lines from Airmatic Allied. The company’s products are distributed by over 100 independent distributors and agents in the U.S, Canada and Mexico with exports to the United Kingdom, Europe, and Australia.

Share

Exclusive Research