While 480 square feet of space may not seem huge for a taproom, it offers The Peoples Cider Co. needed visibility along the burgeoning West Leonard Street corridor in Grand Rapids. Owner Jason Lummen opened his new taproom in late October on a strip with a distillery and a brewery, which he hopes will create new synergies. The proximity to the other producers has increased the company’s exposure, as well as freed space at his production facility on Maryland Avenue in the Oak Industrial Park. Lummen’s operation currently produces about 200 barrels per year and he hopes that separating his taproom from his production operation offers room for growth. He describes business at the new facility in one word:
Annual increases in premiums for employee health coverage were mostly moderate in 2017. It’s a trend from the last few years that Shannon Enders, managing partner at Lakeshore Employee Benefits in Norton Shores, said largely continued for employers who renewed policies for 2018. Enders is also seeing more employers offering various options for employee health benefits, and some are even wondering whether they have gone too far in shifting the costs for health coverage onto employees.
Sam Cummings will be the first to acknowledge that he’s got a lot of office and retail space to fill in downtown Grand Rapids next year, with redevelopment work underway at 50 Monroe Ave. NW and unspecified plans in the coming years for the downtown Fifth Third Bank campus, which has been dubbed Vandenberg Center. Cummings says CWD plans to work diligently over the next year to attract large corporate users, bring more activity to ground-floor spaces and focus on the fundamentals of real estate development.
Decreases in funding from both governmental agencies and other funders who support the needs of the LGBTQ community are cause for concern as Outfront Kalamazoo goes into 2018. Executive Director Jay Maddock said his social justice organization relies on grant funding, individual giving and successful fundraising events, meaning that any hit to the economy will affect all areas of the group’s funding.
Jeff Mason took over in mid July as CEO of the Michigan Economic Development Corp. after eight years of running the University Research Corridor, a coalition of the state’s top three research universities including Michigan State, Wayne State and the University of Michigan. According to Mason, talent remains the top issue for the MEDC, particularly as the state’s economy continues to grow.
Broadview Product Development Corp. had strong business in 2017 with its automotive industry customers and also grew sales to office furniture manufacturers by 25 percent. That growth has President Rick Arnold facing some key challenges at the prototyping and engineering firm. “We’re busier than we have been, and we are busier than our resources can support,” he said. Like most businesses these days, Broadview constantly wrestles with concerns over talent, which remains a key issue for the company heading into 2018.
The further the U.S. gets from the last downturn, the greater the likelihood that another challenge will eventually “rear its head again,” says Mercantile Bank Corp. President and CEO Robert Kaminski. Yet as 2018 approaches, Kaminski doesn’t see any warnings signs from the Grand Rapids-based bank’s clients that portend a downturn is imminent. Instead, he expects the U.S. economy to stay on track.
As Gov. Rick Snyder enters his final year in office, he remains optimistic about the state’s overall economic trajectory. The champion of “relentless positive action” continues to place heavy emphasis on better connecting the state’s resources for workforce development with employers in need of skilled talent. He’s also focusing on efforts needed to support the burgeoning autonomous vehicle sector. In a year-end interview with MiBiz, Snyder spoke about what he hopes to see in the state’s next governor.
The Burma Center is in the business of empowering people through advocacy, community engagement and education. One of its lines of service is Burmese-English language interpretation to serve the 2,500 Burmese residents who have immigrated to the area over the past 15 years. Burma Center advocates for equitable access to resources and services, but Executive Director Martha Thawnghmung says she thinks the pervasiveness of institutional racism and how immigrant groups are often pitted against one another are complicating efforts to unite various groups.
In 2018, Michigan voters will elect a new governor to succeed Rick Snyder — who’s term-limited and cannot run again — as well as a new Legislature. John Truscott, president of the public relations firm Truscott Rossman Group LLC and a veteran of the Lansing political scene, says Republicans who have been in charge for years in Lansing need to guard against complacency if they want to maintain control.
Since merging into the University of Michigan Health System nearly a year ago, Metro Health has steadily bulked up its clinical services, growing the number of physicians that it employs from 150 to about 270. The opening of a gastroenterology subspecialty clinic that includes five faculty physicians from Michigan Medicine in Ann Arbor who are in Wyoming once a week, the addition of five ICU intensivists, and the formation of a pulmonary division are a few examples of the clinical upgrades Metro Health made in 2017 under the affiliation. Metro Health also launched bariatric surgery at midyear in partnership with physicians at Grand Health Partners in Grand Rapids, and most recently expanded its stroke program with the addition of three specialty physicians. Much more will come in 2018 and in the years ahead, said Dr. Peter Hahn, Metro Health’s chief medical officer.
Rather than focusing on massive corporate attraction projects, local economic developers should instead put their efforts behind homegrown entrepreneurial talent. That’s according to Greg LeRoy, executive director of Good Jobs First, a Washington, D.C. policy organization that tracks economic development deals around the country.
GRAND RAPIDS — After a decade of growth in manufacturing, the sector still finds itself having to defend its worth to parents and high school counsellors.
The Great Recession might be years in the past, but commercial real estate executives haven’t forgotten the lessons learned from that time. Rick DeKam, principal with Midwest Realty Group, a Portage-based full-service real estate firm, has spent the last several years building up the company’s cash reserves to prepare for an eventual downturn. But beyond external factors such as “national and global issues related to the country’s presidency and the fact that our county continues to become more and more divided,” he believes the overall business climate continues to look positive.
2017 was a busy year for Grand Rapids-based Lake Michigan Credit Union with the opening of new branches and mortgage offices, insurance agency acquisitions, and the pending deal for Encore Bank in Naples, Fla. Michigan’s largest credit union, LMCU has 42 branch locations, three of them in Florida, and total assets of $5.1 billion as of Sept. 30, up more than 9 percent from a year earlier. President and CEO Sandra Jelinski expects more growth in 2018 as the economy remains in good shape.
With a backlog of construction projects extending out two years at Triangle Associates, Jim Conner feels “cautiously optimistic” heading into 2018. Conner says the company’s diversified clients ranging from education to health care to industrial work should keep it busy even in the event of a downturn.
Matt Jones anticipates another banner year for the buying and selling of apartment properties in Michigan and around the Midwest. Jones, the founder and president of Beacon Realty Group LLC, a boutique commercial real estate brokerage practice focused on the multifamily sector, largely foresees a period of continued slow growth with some potential pressure coming from rising interest rates.
Grand Valley State University will continue to grow its presence in and around downtown Grand Rapids in 2018. As well, the university also hopes to tap into the ever-changing world of technology and data as a means of improving the learning experience for students. President Tom Haas discussed these topics and more at the recent Business Leaders For Michigan CEO Summit in Detroit.
A partner at accounting and consulting firm Plante Moran, Joel Mitchell has a front-line look into how manufacturers are faring. Mitchell, who heads the manufacturing and distribution industry service team in Grand Rapids, said companies are bracing for disruptions and closely watching how passage of the federal tax reform bill could affect their businesses.
Business and local government advocates aren’t always aligned on policy issues, but both groups say 2018 will require concerted efforts to attract and retain talent in Michigan.
In late 2017, Michigan State University’s College of Human Medicine opened the $88.1 million Grand Rapids Research Center in the city’s downtown. As the medical school now looks to build a larger research base in Grand Rapids in 2018 and beyond, Dean Norman Beauchamp said the center opens opportunities for further partnerships with local care providers and companies not only in medical research but also with businesses that address the economic issues that affect health care.
GRAND RAPIDS — Employers continue to struggle to find people to fill open positions and drive growth in their business.
Continental Dairy, a dairy processor in Coopersville, Mich., processes more than 300,000 pounds of nonfat dry milk per day and exports product to roughly 17 countries around the world. COO Steve Cooper reflects on why his sector of the agribusiness industry is facing some challenges currently.
The Affordable Care Act withstood repeal efforts in Congress in 2017 and remains law, which has industry watchers doubting we’ll see another full-scale push to repeal and replace the Obama-era health care policy.
Many of the forces that affected banks in 2017 — from rising interest rates and a good economy, to balancing digital technology investments with cybersecurity — remain the top issues bankers must manage in the year ahead.
Craig Lubben and Robert Wolford become co-managing members on Jan. 1 at the Grand Rapids-based law firm Miller, Johnson, Snell & Cummiskey PLC, succeeding retiring managing member Craig Mutch. Wolford and Lubben will oversee management and strategy at the firm, serve on the five-member management committee and continue with their respective law practices. Wolford, based out of the firm’s Grand Rapids office, will lead client service strategies and marketplace development. From the Kalamazoo office, Lubben manages business functions that include chairing the management committee and overseeing long-term professional and operational interests.
Federal tax reform could act as a catalyst to fuel corporate growth in 2018 and beyond, according to John Kennedy, the president of Autocam Medical, a global contract manufacturer of orthopedic implants, spinal implants, orthopedic cutting tools and other medical device components. “This tax reform will free cash flow from the lower taxes and unlock capital held outside the U.S.,” said Kennedy, who thinks the domestic economy will grow rapidly next year at a pace it hasn’t seen in a decade.
The growth in West Michigan’s small business and entrepreneurial community needs to be more equitable.
As baby boomers get older, the demand grows for senior housing and services. In response, Holland Home recently opened a second 15-bed assisted living center at its Breton Woods Campus in Grand Rapids and has plans for an $18 million project at the Raybrook Campus. Holland Home also formed a venture in 2017 with Clark Retirement Community in Grand Rapids and Resthaven in Holland called Atrio Home Care. The Grand Rapids-based organization serves about 4,000 people annually and employs about 1,600 people. Talent is an issue for Holland Home as a good economy tightens the labor market.
Charles Owens’ nearly 25 years as director of the Michigan office for the National Federation of Independent Businesses has coincided with four governors in Lansing: Jim Blanchard, John Engler, Jennifer Granholm and Rick Snyder. Since Gov. Snyder is term-limited, Michigan voters will elect a new governor in 2018, a year in which the NFIB will get involved to oppose two possible ballot proposals: One to require employers to provide paid sick leave to employees, and the other to raise the state’s minimum wage to $12 an hour by 2022. That’s on top of a minimum wage increase of 35 cents to $9.25 per hour on Jan. 1. The NFIB also plans to back a proposal to repeal Michigan’s prevailing wage law.
As president of the Michigan Agri-Business Association, Jim Byrum worries about trade, weather and talent — concerns shared by the farmers and food processors he talks to on a daily basis. Still, he remains optimistic for the sector’s growth next year.
A good economy boosts business for Amy Ritsema’s clients, which in turn helps OnSite Wellness LLC. The Grand Rapids provider of workplace wellness services to employers launched a service crafted for small businesses with 100 or fewer employees this year. Co-owner Ritsema bases her optimism for 2018 on what she hears and sees these days from clients. Even if the economy were to slow and dip, Ritsema believes OnSite Wellness will remain on firm ground as employers invest in wellness to contain medical costs.
Private equity firm Concurrence Capital Holdings LLC made its first investment in September with the acquisition of Mission Design & Automation LLC, a 13-year-old producer of automation systems for the automotive, office furniture, medical and consumer goods industries. Formed earlier in the year by partners Jason Byrd and Michael Brom, Concurrence Capital looks to invest in more companies as the U.S. economy appears poised to remain in good shape throughout 2018.
The news footage in recent weeks about wildfires raging across Southern California showed an unlikely West Michigan connection: Wyoming-based HME Inc. made many of the fire trucks used to fight the blazes. President Jim Monterusso said the company, which recently finished the first of six custom fire trucks for the city of Detroit, has strong demand for its products, although many municipalities struggle to find the funding they need to upgrade their safety equipment.
Warner Norcross & Judd attorney Tom Manganello understands that the automotive industry is making a push to incorporate more technology. Manganello, who represents automotive sector clients, thinks if companies are not participating in this industry-wide shift, they could be in for trouble.
Steve Starnes expects the bulls to continue their run on Wall Street in 2018, after a steady increase in 2017 that came with much volatility. The 2018 midterm congressional elections could contribute to generating renewed normal volatility in the stock market after investors enjoyed a “pretty calm market” in 2017, said Starnes, a certified financial planner and principal at Grand Rapids-based Grand Wealth Management.
The potential effects of recently-passed federal tax reforms loom large on the minds of Michigan’s philanthropic leaders for 2018.
John Dillworth spent much of his career at Kellogg Co. in various positions, including sales, strategic planning, I.T., budget management, customer service, and others. Since 2000, he’s served as president and CEO of Goodwill Industries of Southwest Michigan. He talked about the state of the nonprofit sector looking ahead to 2018.
As Mayor Rosalynn Bliss looks ahead to her third year in office, she’s tasked with leading a maturing city and grappling with the associated growing pains. The city also faces issues ranging from a constrained housing market to external factors such as potential changes to the federal tax code, which could have consequences for municipalities. Moreover, City Hall just started the process of searching for a new city manager with the hope of having a candidate selected in the first quarter of 2018.