FARGO - Metal fabricating company Standard Industries is building a 120,000-square-foot manufacturing facility in the north Fargo industrial park.
The new building at 5650 13th Ave N. will be about three times the size of the company’s current facility at 4230 14th Ave. N.W.
Standard Industries is investing about $8.4 million in the project - $7.2 million building and $1.2 million in new equipment.
President Mike Lepine said growing demand for the company’s products is behind the expansion, which is planned for completion in Spring 2022.
“We’re doing more and more work outside the area,” Lepine said Friday, Aug. 13. “In anything, you can’t really stay stagnant, you need to keep moving forward.”
Lepine said the introduction of additional automation in manufacturing requires more room, but the company will also be hiring.
“We’re excited We’re going to be adding more employees,” he said.
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Standard Industries provides a variety of stainless steel, precision steel and aluminum products to their growing clientele nationwide. Early on, the company focused on agricultural equipment, such as cultivators, defoliators, seedbedders, harvesters and more. In recent years, the company has diversified, making mining, flour industry and sugar beet equipment, with an emphasis on stainless steel equipment. The company also makes large industrial tanks.
Lepine told the Fargo City Commission in June that 95% of his business comes from outside of North Dakota and that his firm is running out of room.
The City Commission then voted 4-1 to approve a five-year property tax exemption for the building that’s worth about $82,000 per year. The firm will continue to pay the full land tax estimated at $30,000 per year, according to city documents.
In the application for the tax break, the company said it currently has 38 employees and a payroll of about $1.7 million. The firm estimated that it could potentially more than double its workforce to 80 employees and a $3.75 million payroll five years after the new facility opened.
All of the company’s employees earn more than $20 an hour, with more than half of them earning more than $28 an hour, according to city documents.
The Greater Fargo Moorhead Economic Development Corporation helped connect Standard Industries to affordable financing and incentives to bring the project to reality.
“Working with the GFMEDC helped us solidify our decision to take a major leap forward with this significant project,” Lepine said in a news release, “Knowing there were resources and partners out there to help us de-risk this investment was critical to this expansion moving forward.”
Ryan Aasheim, the EDC’s chief business development officer, praised Standard Industries for sticking with Fargo.
“We continue to marvel at the ability of the firms in our market to constantly innovate,” Aasheim said. “We are excited that they decided to build on that growth here.”