story by Kim Souza
ksouza@thecitywire.com
Springdale, the city in the middle of a hot Northwest Arkansas economy, has been somewhat the laggard in retail and commercial growth across the two-county region. But times are changing. More red dirt is being unearthed thanks to a surge in private and public ventures.
Construction is underway for a new 30,000 square foot facility for Stabil-Loc Inc. in the Springdale Industrial Park. With an investment of more than $1 million the new facility will allow the company to add needed manufacturing space and double its workforce in the coming year.
“We’re excited about this growth opportunity since moving the business to Springdale from Kansas City just two years ago,” said Steve Patton, company founder.
His son Kyle Patton, president of Stabil-Loc, said the new building is needed as they now operate in just 10,000 square feet of rented space near their building site at 1948 Turnbow Ave.
Stabil-Loc specializes in the engineering, manufacturing and installation of foundation piering systems for residential and commercial applications. He said the company recently restructured to allow for franchise dealerships who can sell their patented piering sytems, which should provide a steady boost to the Springdale manufacturing center’s work orders.
“We have 60 franchisees around the country and this new facility will make a major difference in our ability to serve our customers,” Kyle Patton said.
GOOD YEAR FOR SPRINGDALE
Civic leaders were on hand Wednesday (Dec. 17) for Stabil-Loc’s groundbreaking ceremony.
"This is another great job creation and expansion announcement for Springdale," said Perry Webb, president of the Springdale Chamber of Commerce. "It’s a nice way to cap a year of economic growth for our city. We anticipate to share more good news in 2015."
He said Springdale has led the state in job creation, and now that the local jobless rate has dipped to 3.9% more excitement is brewing.
“Sales tax continues to go up. We are seeing business growth across all spectrums, which looks to be sustainable and we don’t see any sign of regression at this juncture,” said Bill Rogers, communications director for the Springdale Chamber.
Rogers said 2014 has been a good year in Springdale as private and public investment continues to stream into development projects that include:
• The Razorback Greenway;
• The Downtown Alliance with the purchases of the Apollo Theater, by Philip Taldo and investors;
• Tyson Food’s recent purchase of the JTL Building in downtown Springdale; and
• The Walton Family investment in the former Ryan’s Department Store building in downtown Springdale.
Webb said the Endeavor Foundation’s investment in Turnbow Plaza at Shiloh Square was also huge.
“There is a lot excitement around the downtown development and the city is set begin Phase 1B of that project which will unearth Spring Creek. ... Tyson’s announcement to move some of its operations downtown is huge because we know more investment will follow people populating the downtown area,” Webb said.
OTHER INVESTMENTS
But it’s not just downtown development at play in Springdale. South Coast Baking is up and running its cookie operation after relocating a portion of the California-based business to Springdale this year.
“They have about 120 folks working and they are running two shifts, maybe three on one production line. They tell us there are plans to ramp up another line next year or so and double the production,” Webb said.
South Coast Baking invested $8.7 million into an existing 104,000 square foot building at 800 S. 40th Street as it sought to move some of its production to the middle of the country as a supplier to Sam’s Club and Panera Bread.
Company officials said the central U.S. location of this manufacturing and warehouse facility mitigates the company’s existing transportation costs as it serves companies in a growing customer base east of the Rockies. Kent Hayden, CEO of South Coast Baking, said this central location will eliminate 2.5 million miles of freight annually, saving 400,000 gallons of diesel.
NanoMech recently unveiled a major expansion to its Springdale headquarters as company completed a 29,000-square-foot addition to its facility that triples the capacity for the high tech manufacturer. The company will employ 37 engineers by year-end, nearly all who are University of Arkansas graduates.
Wal-Mart’s investment in Springdale has already begun to pay off as sales tax revenue has seen double-digit growth since it opened in August. Plans for a new Neighborhood Market on Don Tyson Parkway have taken shape as dirt prep work is already underway in the shadow of another Casey’s General Store well under construction next door.
McDonald’s build a new restaurant at Elms Springs Road next to Wal-Mart’s new supercenter and Sam’s Club has announced a brand new club to be built at U.S. 412 and I-49 in the heart of Springdale. Sam’s Club is slated to open in 2016.
NorthWest Arkansas Community College has also invested $2.4 million in 20 acres of land in west Springdale with plans to build a permanent Washington County center near Arvest BallPark.
Webb said there are more announcements expected in 2015 including a new master plan design for the Springdale’s downtown area.
“These are good days in Springdale,” he said.