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Snapshot 2008 is a yearly report on the Greater Richmond Partnership’s activities to keep investors, board members and allies informed of our progress. Click here to download .pdf of the print publication. In this issue, you'll find:
The Greater Richmond Partnership, Inc.'s marketing of the region in 2008 produced several positive results including a number of major new facilities. Growing interest from international firms created new business activity. A wide range of area companies announced plans to add employment or investment. Regional construction activity remained strong with a large number of private and public projects underway or completed during the year. Worldwide economic challenges forced organizations to reevaluate their businesses. Although Greater Richmond's unemployment rate remains well below that of the U.S., it is clear that the area is not “recession proof.” Despite the challenges, companies including Alfa Laval, Owens & Minor and Altria grew through acquisitions during the year. And in the shifting financial industry, Capital One purchased Maryland's Chevy Chase Savings Bank and Genworth agreed to acquire InterBank, a federal savings bank based in Minnesota . The Partnership has led the charge for over a decade in providing the leadership and vision in economic development and will continue to do so with its partners and allies. In December, the Partnership took proactive and strategic steps to enhance its ongoing work elements by implementing an aggressive 90-Day Action Plan. Gregory H. Wingfield, president and CEO of the Partnership stated, “We recognize that we cannot control the global economy but we can control how we respond to it.” He added, “In the meantime, the Partnership continues to actively market the region's existing strengths and opportunities, such as the moderate cost of doing business, the current valuation of the dollar, available corporate real estate and a talented and educated workforce.” New International Companies return to top Mother Parkers Tea & Coffee Inc., a privately-owned Canadian company, chose the town of Ashland in Hanover County for a facility to produce coffee and other beverages for the retail and food service markets. The company will invest $40.1 million and employ 85 at the new operation. Sabra Dipping Company, a kosher, vegetarian food manufacturer will invest $59.3 million to build a food-processing plant at the Ruffin Mill Industrial Park in Chesterfield County. The 110,000-square-foot-plant will employ 260. Based in Astoria, N.Y., Sabra is a joint venture between PepsiCo and Strauss Group, which is Israel 's second-largest food and beverage company. Mazda Motor Corporation opened a center in Chesterfield County to rebuild rotary engines for Mazda's RX-8 sports cars, the only operation of its type in North America. The 133,000-square-foot facility also includes a dealer training center and information call center. ept automotive, a German auto parts maker, leased 46,300 square feet of manufacturing space in Chesterfield's River's Bend industrial park to produce electrical connectors for the automotive industry. The facility represents an investment of approximately $5 million and is expected to create more than 50 jobs during the next three years. Willy Rau, president of ept america, said, “The Greater Richmond area offers a pool of experienced, skilled workers and managers that will contribute quickly to our mission. Having operated another business in the area for many years, I have great respect for Virginia 's business climate and the productivity of the local workforce.” Brazilian Best Granite Inc. opened a 5,700 square foot showroom and fabrication facility at 6401 Dickens Place in Henrico County. The company makes and installs custom granite products including countertops and flooring.New Domestic Companies return to top Altria Group Inc. became Greater Richmond's newest Fortune 500 company in March when it relocated its corporate headquarters from New York City to the Henrico County headquarters of its subsidiary, Philip Morris USA. The move had been expected since August 2007, when Altria announced that it would spin off its international operations as a separate company. The company was in the news again in September when it announced that it would purchase UST Inc. for $10.4 billion. The acquisition was completed in early January 2009. UST's principal subsidiaries are U.S. Smokeless Tobacco Company, the top manufacturer of moist smokeless tobacco, and Ste. Michelle Wine Estates, which produces and distributes premium wines. An estimated 70 jobs will be added at Altria's Greater Richmond headquarters. Aspen Products Inc., a major supplier of paper plates and other paper products, opened a production facility in the City of Richmond to serve East Coast customers. Aspen is a privately owned company based in Kansas City, MO. The new facility represents an investment of $12 million and will employ up to 190 people. “The Richmond expansion is a terrific next step for our company to strengthen our existing customer relationships and create opportunities for new clientele along the East Coast of the United States,” said Shannon Walls, Plant Manager. Edelman Financial Advisors, an investment management firm based in Fairfax , VA opened an operations center in Henrico County with an initial staff of 25. Edelman Financial founder and chairman Ric Edelman said, “The new operations facility is vital to our commitment of delivering the very best advice and service to our clients.” Riverfront Investment Group, a money-management firm started by four former Wachovia Securities employees in April added 10 additional strategists in June. Riverfront staff will use the model they developed at Wachovia to provide both investment research and investment management services to financial advisory firms. Ace Recycling opened a $6 million materials recovery facility in Chesterfield County with 30 jobs. Virginia Distribution invested $1.5 million in a wine distribution facility in Henrico County creating 15 jobs.Expansions return to top Alstom Power, Inc., held a groundbreaking celebration in December for a new Blade Manufacturing Facility at its Willis Road plant in Chesterfield County. When the new 20,000-square-foot facility is completed in June 2009, the company will be able to more than double production of turbine blades. The company is investing $7.5 million and adding 25 new jobs with the expansion. W.M. Jordan celebrated the expansion of their office in Richmond 's historic Manchester District in February. The construction management firm's 9,508-square-foot office expansion and 4,500-square-foot maintenance shop received a Leadership in Energy and Environmental Design (LEED) Silver Certification. Afton Chemical, a subsidiary of NewMarket Corp., is building a two story 30,600-sguare-foot addition to its downtown Richmond research center to provide office, laboratory, and mechanical test space. Completion is expected in third quarter 2009. Other companies expanding during 2008 provided a wide range of goods and services. Manufacturers and distributors of construction and building materials included Colonial Marble Products, Norandex Building Materials Distribution, Trainor Glass Company, Stanley Stephens (commercial floor coverings) and Premier Woodworking (store fixtures). Several energy and recycling companies announced expansions, includinng Osage Bio Energy LLC, Cephas Industries (wood products recycling) and S.P. Recycling (paper recycling). Machinery and equipment companies adding jobs or investment included BluePrint Automation (case packaging machinery), Sealpac USA (tray sealing machinery), Viking Supply Net (fire protection equipment), and Xymid LLC (sleeves for printing machinery). Companies providing consulting services that planned expansions included ACP Inc. (construction management), DAI Technologies (information technology services), Kimley-Horn & Associates (engineering), Monument Consulting (human resources), and Pro-Motions (marketing). Also adding jobs or investment during the year were the Country Vintner (wine distribution), WellPoint Inc. (health insurance) and Duro Bag Manufacturing (paper bag manufacturing). Strong Construction Activity at VCU return to top Virginia Commonwealth University continued the high level of building activity that has characterized the school for the last decade. The first phase of the Monroe Park Campus Addition was completed in January 2008 with the opening of East Hall (Engineering School) and Snead Hall (Business School), a new home for the award winning BrandCenter and a new parking deck. An adjacent residential college was under construction during the year and opened in the Fall. Also under construction on the Monroe Park Campus during the year were a new $13.5 million Engineering Health and Life Sciences Lab and the $45.7 million Cary Street Recreation Center. On the Health Sciences Campus, a new $192 million critical care hospital opened in October. The 15-story facility has 232 single-patient rooms plus the most advanced features for medical emergencies and intensive and critical care. A $71.5 million Medical Sciences research lab building and a $19.75 million addition to the School of Dentistry also were under construction. VCU had a total of $426 million in construction and renovation projects underway on both campuses during 2008. Downtown Projects return to top Downtown Broad Street Update The remaking of downtown Richmond's Broad Street Corridor took several major steps forward in 2008. The renovated National Theater, a 1,500-seat concert venue, opened early in the year. Robinson-Merhige Federal Courthouse, opened for business in September with a formal dedication ceremony in October. The seven-story, 363,000-square-foot, $100 million courthouse was designed by renowned architect Robert A. M. Stern. University of Richmond Downtown will occupy the first floor of a renovated building at 626 East Broad Street in close proximity to the new courthouse. The university's T.C. Williams Law School will provide pro bono legal services at the new location, expected to open early in 2009. The Hilton Garden Hotel and Miller & Rhoads Condominiums also neared completion with opening planned for February 2009. The 250-room hotel and 133 condo units are on the site of the former Miller & Rhoads department store. The $100 million project also includes 21,000 square feet of commercial and retail space and associated parking. Richmond CenterStage, downtown's performing arts center, continued to progress toward its Fall 2009 completion date, in time for the 2009-2010 arts season. The $65 million project includes expansion and renovation of the Carpenter Center plus Dorothy Pauley Square, which will house a new multi-purpose Rhythm Hall, 200-seat Libby Gottwald Community Playhouse, and Genworth Bright Lights Education Center. More Downtown Projects On the Riverfront and Canal Walk, work continued on MeadWestvaco's corporate headquarters, scheduled to open in the Fall of 2009, and on the Federal Reserve Parking Deck. The Williams Mullen building was under construction at 10th and Canal streets next to the RMA parking garage. Williams Mullen law firm will occupy 170,000 square feet of the building, with 30,000 square feet available for additional tenants. Completion is projected to be June 2010. In addition, a whole host of residential and commercial projects were underway in Jackson Ward, Tobacco Row and at other downtown locations, across the James River in Manchester, and east of downtown at Rocketts Landing. Virginia Biotechnology Research Park return to top Biotech Eight, the newest multi-tenant facility at the Virginia Biotechnology Park, opened in 2008. The 75,000-square-foot building is the home for the Virginia Department of Forensic Science, Office of the Chief Medical Examiner, and the VCU Health System's Human Leukocyte Antigen Laboratory. Approximately 26,000 square feet is still available for additional users. Biotech Eight, the Park's first LEED certified green building, incorporates environment-friendly building materials, water conservation and energy efficient systems and includes an attached 300-space parking structure. Obetech LLC, a biotech firm located at the Park, signed a joint venture agreement with Sweden's Scandinavian Clinical Nutrition to create a new Swedish company, Scandivir. The new firm will work on the diagnosis and treatment of obesity linked to a common virus, adenovirus-36. Also during the year, researchers at VCU's Massey Cancer Center agreed to partner with researchers from Israel in a Phase I study for pancreatic cancer. The study involves a gene-based therapy developed by BioCancell Therapeutics Inc., an Israeli biopharmaceutical company. The research partnership resulted from the Virginia Biotechnology Research Park's initiative to recruit companies from Israel.Major Mixed Use Projects return to top Bass Pro Shops opened a superstore off I-95 near Lewistown Road in Hanover County. The store and associated Islamorada Fish Company restaurant gained instant popularity in the area. Bass Pro anchors a planned 186.5-acre commercial, entertainment and retail development that also includes a new county park. Reynolds Crossing is a 90-acre development in close proximity to Altria Group's headquarters near West Broad Street and Interstate 64. The project's 100,000-square-foot medical building, a 200,000-square-foot office building, and the region's first Westin hotel opened during the year. The Shops at White Oak Village, located near Richmond International Airport at the intersection of Interstate 64 and Laburnum Avenue, opened in the Fall with 150,000 square feet of retail and restaurant space. A 151-room Hyatt Place hotel was under construction during the year with opening planned for 2009. West Broad Village is a 115-acre project in the Short Pump area of western Henrico County. The development includes 420,000 square feet of retail space, 600,000 square feet of commercial space, and 884 residential units and is adjacent to a park and school. It also will include several restaurants and a Starwood aloft hotel. An Olympic Training Site for 24 sports was announced by SportsQuest at the corner of Powhite Parkway and 288 in Chesterfield County. The Sport and Family Entertainment Multiplex will be designed for the general public as well as for high performance athletes and will include a sports medicine and sports science facility. The project will be completed in three phases. Phase I, including an aquatics center, ice skating rink, sports medicine clinic, fitness center, and family entertainment center is planned to open in first quarter 2010. The area's first retail outlet mall was proposed by Horizon Group Properties Inc., the nation's fifth largest developer and operator of outlet malls. The site of the 375,000-square-foot mall is in Hanover County at Lewistown Road and Interstate 95, adjacent to the Bass Pro store that opened in 2008. The mall will serve both local customers and traffic on I-95 with 80 to 90 stores.New Hotels return to top Nine hotels with more than 1,000 rooms opened in 2008, bringing the area's inventory of hotel rooms to 16,300. Two of the new hotels are near Richmond International Airport, one is in Hanover County near Kings Dominion theme park, three are adjacent to Virginia Center Commons mall, one is in Colonial Heights, and two are in western Henrico County at Reynolds Crossing and Innsbrook office parks. An additional 11 hotels with 1,300 rooms were under construction during the year, to be completed in 2009. Other Newsmakers return to top 64 Express barge service between Norfolk International Terminal and the Port of Richmond began in December. Norfolk Tug Company will provide weekly service between the two ports, serving customers within 100 miles of Greater Richmond and reducing truck congestion on Interstate 64. The Venture Forum's Companies to Watch are firms with the potential to become national leaders. This year's picks covered a range of industries including information technology, life sciences, finance and advertising. The ten winners were:
CarMax was ranked for the fourth consecutive year as one of Fortune.com's 100 Best Companies to Work For. The Richmond-based auto retailer ranked 46 in 2008, up from 88 in 2007. The Jefferson Hotel was rated five diamonds by the AAA motor club for the 16th year. Area hotels and restaurants rated four diamonds were the Wyndham Virginia Crossing Hotel and Conference Center, the Berkeley Hotel and the Dining Room at the Berkeley Hotel, and 1 North Belmont. Carytown was named one of South's ten best shopping neighborhoods by readers of Southern Living magazine, as reported on SouthernLiving.com and in the Richmond Times-Dispatch, December 23, 2008. Richmond Folk Festival drew 185,000 attendees to the downtown riverfront for a celebration of diverse music and crafts. Beautiful weather for the three day festival October 10, 11, 12 added to the enjoyment.Accolades for Virginia and Greater Richmond return to top Virginia was named the nation's best state for business for the third consecutive year by Forbes.com. Virginia's educated labor force, low energy costs and proximity to Washington, D.C. helped the state retain the top spot despite strong competition. Virginia was ranked second among America 's top states for business by CNBC.com in 2008. Fifty states were scored on ten broad categories of competitiveness: cost of doing business, workforce, economy, education, quality of life, technology & innovation, transportation, cost of living, business friendliness, and access to capital. The Greater Richmond area was rated the fifth best metro center for business, by Dow Jones MarketWatch, December 2, 2008. The study looked at factors including the number of Fortune 1000 companies and other businesses per capita. One of the 10 best cities for commuters in Forbes.com, April 2008. The nation's 75 largest metro areas were evaluated based on traffic delays, travel times and how efficiently commuters use existing infrastructure. One of the nation's 20 best places for business and careers, rated 7th among the 200 largest metro areas by Forbes, March 19, 2008. Forbes looked at business and living costs, jobs and income growth, and quality of life factors. Greater Richmond was 14th in 2007. A top 10 city for finding a job in 2009 in a study by Ajilon Professional Staffing reported in Forbes.com, January 5, 2009. A low unemployment rate and recent job growth were important factors. Greater Richmond also benefited from a balanced economy and proximity to Washington, D.C. |
