Central Indiana Update
The region's top business stories

by Kathy Mayer

(April 2003) - MARION COUNTY

Announcement of a $75 million luxury hotel in downtown Indianapolis and numerous industrial expansions were some of the Marion County business headlines in the last year.

Final negotiations are under way with Conrad Hotels for a 22-story hotel and condominium tower at Illinois and Washington streets, across from Circle Centre, with construction slated to begin this fall and opening targeted for year-end 2005. The yet-to-be-named hotel would include 220 rooms and 24 condominiums.

Also downtown, six proposals are under review for redevelopment of the former Market Square Arena site. Most would include residential and retail space; another proposes a cultural center.

Under way in industrial expansions: a $19 million expansion at Carrier Corp., which will boost employment at the heating and air conditioning equipment manufacturer; a $19 million new headquarters and distribution facility in Indianapolis for Finish Line; and a $1.3 million distribution facility for snack-food maker Seyfert Foods.

Recently completed projects include a $72 million printing plant for The Indianapolis Star, Dow AgroSciences’ $16.8 million biotechnology research-and-development expansion; and a $12 million research-and-development facility for Allison Transmission Division of General Motors in the former Borg-Warner building. Allstate Insurance also built an $11 million customer-service center, and Kroger’s Crossroads Dairy spent $11 million on an expansion.

Marion County’s largest industrial employers are Eli Lilly & Co., with a workforce of 11,000 in Indianapolis; Rolls-Royce, employing 5,000; and Allison Transmission, with 4,100 employees.

"Health care and financial services remain the key segments of the local economy and will be one of the stronger sectors for Hamilton County in the years to come," reports Jeff Burt, president of the Hamilton County Alliance. One reason he cites is a full-service hospital project recently announced by Clarian Health, with ground-breaking planned in the second quarter.

"Health care is our most active sector," Burt says, noting two other health-care projects–the $60 million Heart Center of Indiana and $35 million new St. Vincent Hospital, both in Carmel. He also notes that ITT Educational Services spent $8 million on its new Carmel facility employing 150.

Recent investments include Irwin Mortgage’s $18 million headquarters project and Forum Credit Union’s $25 million expansion, both in Fishers. And Riverview Hospital in Noblesville is building a $16 million addition.

The county’s top employers include Conseco Inc., which employs about 2,400 in Carmel. SLM Corp., or "Sallie Mae," employs 2,000 at its student-loan administration site in Fishers, and Thomson Consumer Electronics employs another 1,500 at its Carmel headquarters facility.

With an aggressive, three-year strategic plan focusing on recruiting life-science and high-tech businesses, Chris Kinnett, executive director of the Johnson County Development Corp., points to Indiana Protein Technologies as an example of the kind of business he wants to attract and nurture.

The locally founded, 6-year-old pharmaceutical research company develops protein-based products. It recently moved to an 11,000-square-foot facility in Greenwood’s new Sierra Crest Business Park that nearly doubled its lab size. And its 11-scientist workforce will double during the next few years.

Eyeing that new growth, developers continue planning and approval work on the 260-acre Franklin Tech Industrial Park at Interstate 65 and State Road 44.

The county’s largest industrial employer is ArvinMeritor in Franklin, where 950 make exhaust systems and metal stampings. That top spot could soon be taken over by the Best Buy distribution center, also in Franklin, which now has 850 employees. The national electronics chain is increasing its product load and employment later this year, Kinnett says.

Another top player is Mitsubishi Climate Control, with plants in Franklin and Greenwood employing a combined 550. The plants produce automotive air compressors and heating and air conditioning systems.

The big news in Hendricks County is the purchase of the former Qualitech Steel mini-mill in Pittsboro by Fort Wayne-based Steel Dynamics Inc. The purchase will bring back 200 to 300 high-wage jobs after a few-year shutdown, says Harold Gutzwiller, executive director of the Hendricks County Economic Development Partnership.

Plainfield welcomed USCO Logistics, a distributor for J.C. Penney employing 500. Another 800,000 square feet of bulk distribution space has been announced for 2003, in a county now housing more than 14 million square feet of such space.

And the community will remain home to retailer Galyan’s Trading Co., despite a year-long search that included sites outside its longtime home. Search for a local site to build the new headquarters is under way.

The county’s largest industrial/business employers are: electric utility Cinergy/PSI in Plainfield, employing about 1,200; Brightpoint, a cell phone distributor in Plainfield employing 500; and HomeGoods, a division of TJX, in Brownsburg, with 450 workers at a distribution center.

Helen Humes, director of the Mooresville Development Commission, reports expansions at three Mooresville plants. Nice-Pak Products, the county’s top employer with 460 workers, spent $5 million on its facility that produces wet wipes, moist towelettes and other personal and medical care products.

LinEl Signature, which makes skylights and other architectural products, spent $3 million and boosted employment by 30 to 130. And TOA (USA) LLC is investing another $7 million at its auto stamping and auto suspension parts plant.

Two newcomers joined Hancock County’s industrial lineup in the last year, according to Darrell Thomas, executive director of the Council for Economic Development in Hancock County: Emerson Climate Technologies, employing 80 at its 130,000-square-foot refrigerant parts distribution center in the Mount Comfort Commercial Park, and Preferred Sourcing, with 60 on the payroll inspecting gauges and auto parts, also in Mount Comfort. Emerson occupies part of a 600,000-square-foot building under way by Precedent Corp.

Expansions included Indiana Automotive Fasteners Inc. in Greenfield, which spent $3 million on a 140,000-square-foot addition; it will employ 300 by year-end.

The county’s largest industrial employers are Keihin IPT in Greenfield, with 1,200 workers making fuel injection parts for Honda, and 750-employee Eli Lilly/Greenfield Laboratory, where a $73 million expansion continues. Irving Materials, providing concrete, sand and gravel, employs 300.

Case New Holland announced in March that it will open a 1 million-square-foot distribution and packaging center at I-65 and State Road 32, bringing 700 new jobs to the community by the end of 2005. The tractor manufacturer is investing $28 million in its new operation.

Two other new industries, one in Lebanon and one in Zionsville, recently began operations, reports Katie Zoeller Culp, executive director of the Boone County Economic Development Corp..

Just opened in the first quarter of 2003 is CertainTeed, which makes vinyl windows at its 247,500-square-foot plant in the Lebanon Business Park. The Pennsylvania-headquartered company employs 100 there.

Infolab Inc., from North Carolina, opened a 15,000-square-foot operation in Zionsville’s Bennett Technology Park. The pharmaceutical-supplies provider employs 40, with another 30 outside sales representatives.

The county’s top employers, all in Lebanon, include Pearson Education’s book-distribution center, employing 618; Time Warner’s book-distribution center, with 248 employees; and Prairie Industries, which makes artificial Christmas trees and employs 226. Kauffman Engineering, with 225 workers, makes electrical/wire harnesses.

Triumph Controls Inc., a subsidiary of The Triumph Group in Pennsylvania, has opened in Shelbyville. "It’s a good one for us," says Dan Theobald, executive vice president of the Shelby County Development Corp. "This project fits one of our primary target industry groups–advanced manufacturing–and will add desirable employment opportunities in both manufacturing and engineering."

Triumph assembles mechanical and electromechanical controls used in the aerospace, shipbuilding and process-control industries. About 50 employees are on the workforce now, with growth expected as the economy rebounds.

Construction begins this spring on Shelbyville’s new 135-acre Intelliplex Park, a joint venture between Major Hospital, the city and county.

In other economic activity, the county expects the Indiana Downs horse-racing track to bring in new tourism, meeting and convention revenues.

The county’s largest industry is the U.S. headquarters for Knauf Fiberglass GmbH, with 1,150 workers in Shelbyville making fiberglass insulation. Other top employers, also in Shelbyville and enjoying steady employment levels, are PK USA Inc., with 600 who make steel and plastic auto parts, and Pilkington, which makes tempered-glass auto parts and has a workforce of about 500.