Economy

Follow our blogs on Twitter: .biz blog | Centsible Saver | Tech Junkie | Mouthful | Green Scene | Warm TV

Published Thu, Jan 26, 2012 05:33 AM
Modified Thu, Jan 26, 2012 06:50 AM

Garner hears ideas for ConAgra site

Chris Seward - 2009 NEWS & OBSERVER FILE PHOTO
A fatal explosion in 2009 forced the ConAgra plant to close, and hundreds of jobs were lost. Some of those laid-off workers attended the Garner Town Council meeting Wednesday at which options for the site were presented.
Email Print Order Reprint
Share This
Text

tool name

close x
tool goes here
- snagem@newsobserver.com
Tags: Wake County | Garner | business | economy | ConAgra

GARNER -- For nearly five decades, workers made sausage and later Slim Jim meat snacks at a sprawling factory near Interstate 40. But now, Garner leaders and economic development experts hope to steer clear of food makers and attract higher-paying biotechnology or pharmaceutical jobs to the site.

Sanford Holshouser, a Raleigh-based economic development consulting firm, has laid out some potential guidelines as Garner tries to bring new tenants to the formerConAgra Foods plant on Jones Sausage Road. The average salary should meet or exceed Wake County's average income of $46,800. Companies should create at least 440 jobs - roughly the number of workers ConAgra had when it left town in May. And tenants should bring a tax base of at least $55 million.

The Garner Economic Development Corp., which now owns the 106-acre property, hired Sanford Holshouser to create plans to redevelop the site. The company presented early plans to the Garner town council and the public Wednesday evening.

A natural gas explosion ripped through the ConAgra plant in June 2009, killing three workers and mortally wounding a contractor. Con Agra, a Nebraska company, closed the plant last spring, putting hundreds of workers out of a job. As a parting gift, the company donated its property to the town, along with $500,000 to market the site to new tenants.

Companies in the life sciences field, such as biopharmaceutical companies or medical-device makers, could bring good jobs and a strong tax base to Garner, said Crystal Morphis, a managing partner for Sanford Holshouser.

But it won't happen overnight. "It takes time to redevelop property like this," Morphis said.

Garner could easily attract businesses that need warehouse space, Morphis said. But such companies would likely bring few jobs and offer low wages.

Some food-production companies have already expressed interest in the plant, which has about 200,000 square feet of office and manufacturing space. But Town Manager Hardin Watkins said jobs in that industry would likely have an average annual salary of less than $30,000.

"It became apparent to us that food is not going to work if you want to see high wages," Watkins said.

ConAgra offered an average salary of about $38,000, he said.

The cost of waiting

Garner could market the property to one company or several different companies, Morphis said. It could leave the building intact or tear it down.

But maintaining the plant for an extended period might be unrealistic. The Garner Economic Development Corp. is spending $16,000 a month on insurance, utilities, pest control and other expenses at the site, said Tony Beasley, the town's economic development director.

Companies looking for a plant have lots of other options throughout North Carolina, said Bruce Andrews, president of the Garner Economic Development Corp.

"I think it's going to be difficult to sell it as it is," Andrews said. "We can't afford to keep it there for a real long time."

But the ConAgra plant has a water-treatment facility that could attract biotechnology firms, said Ken Atkins, executive director of Wake County Economic Development. Few sites have that feature, he said.

"I think this site has huge opportunities for Garner," Atkins said. "It's a gateway site; it's next to the interstate."

Hoping for a job

Dozens of people gathered in Garner on Wednesday to learn more about potential plans for the area.

James Colclough, 47, of Clayton cleaned the machines at ConAgra until the company left. He hasn't found another job, and he hoped to hear news of new jobs at the public information session.

"That's why we all came out, hoping they had something going on," Colclough said. "We all need jobs. We need insurance."

William Clark, 53, of Clayton worked for several years as a machine operator atConAgra. He has since found work at a distribution company in Johnston County, but the pay isn't as good.

Clark said he'd like to see decent-paying jobs return to the site of his former employer.

"Something similar toConAgra, but better," he said.

Sanford Holshouser will finalize its plans and is scheduled to make a recommendation to the Garner town council on Feb. 21.

Nagem: 919-829-4758

Get the biggest news in your email or cellphone as it's happening. Sign up for breaking news alerts.

Email Print Order Reprint
Share This
Text

tool name

close x
tool goes here
More Economy

Get business updates

Keep up with the latest business stories with our free e-mail newsletter, delivered straight to your inbox!

- it's free!

- it's free!

- it's free!

Hot Deals View All
Find a Car
Go
Top Jobs View All

Find a Job
Go
Featured Homes View All
Find a Home
Go

Images

Print Ads

 
We welcome your comments on this story, but please be civil. Do not use profanity, hate speech, threats, personal abuse, images, internet links or any device to draw undue attention. Read our full comment policy.