SALT LAKE CITY — A new manufacturing facility in the city's northwest quadrant is projected to bring 1,000 new jobs to the area over the next decade.
Swiss-based railroad vehicle maker Stadler broke ground Friday on a state-of-the-art manufacturing facility at 150 S. 5600 West, where the company will build and assemble trains for transit properties throughout the United States and North America.
Stadler currently leases space from the Utah Transit Authority at its Warm Springs facility at 900 N. 500 West that employs 115 workers.
The expansion project is scheduled for development over 10 years or less, depending on future orders, according to a news release from the company. Phase 1 will include construction of new roads, utilities, test track and a manufacturing plant with an office building. Additional growth is expected to be modular and scaled to match the needs of future client orders, the release stated.
Based on growth estimates, Stadler expects to employ up to 1,000 direct employees within the next 10 years, which will be supplemented with more indirect employment through its local suppliers, the company said. Stadler’s initial investment in Salt Lake City will be more than $50 million.
"Stadler is very excited to construct the very finest in train manufacturing plants right here in Salt Lake City," CEO Martin Ritter said in a statement, championing the project's close proximity to Salt Lake City International Airport.
The company also has land for a 0.6-mile rail track to be built, and used for testing and commissioning of trains before they ship to clients, Ritter added.
“The skilled, educated and dedicated workforce along the Wasatch Front, combined with high quality of life, convinced us to stay and establish our permanent headquarters in Utah," he said.
"We commend Utah and all the cities and organizations that worked so hard over the last two years to assist Stadler in completing this transition. We are very excited to be a part of the community along the Wasatch Front and look forward to decades of great partnerships," Ritter said.
Mayor Jackie Biskupski said she's "thrilled" to welcome the company "permanently" to Salt Lake City.
"To have a company with a global footprint call the northwest quadrant home solidifies the city has a premier, strategic location for any company focused on logistics, manufacturing and distribution,” Biskupski said.
Lara Fritts, the city's economic development director, said the benefits of the location makes the project a good fit.
"Ultimately, Salt Lake City’s proximity to two major highway interstates, international airport and intersection with the Union Pacific Railroad intermodal hub, expanding in the capital city was a sound business decision,” Fritts said.
City officials for the past year have been working with Stadler to ensure its needs for this project are met, she said.
Fritts also credited the Economic Development Corporation of Utah, Governor's Office of Economic Development, and Downtown Alliance with helping the deal come together.5 comments on this story
“Nearly 150 years ago, the Union Pacific and Central Pacific Railroads joined in Promontory Point, Utah," said Theresa Foxley, CEO of the Economic Development Corporation of Utah. "Stadler’s selection of Salt Lake City for its permanent U.S. railcar manufacturing facility is the culmination of a yearslong effort by several state leaders to recruit Stadler into Utah and builds on our state's deep rail legacy.
"This facility will create hundreds of job opportunities and an amazing ripple effect in our economy,” Foxley said.