Office furniture maker Knoll Inc. has entered into a tentative agreement to sell the company’s manufacturing plant in Kentwood.
Executives at the Greenville, Pa.-based company said the approximately $13 million deal could close “late in the second quarter.”
Knoll announced the agreement as part of its first-quarter earnings report.
The site’s closure came as part of a plan to consolidate and improve efficiency. In January, executives at Knoll disclosed that the company would be closing operations at the plant, located at 4300 36th St. SE in Kentwood. The move will eliminate 180 hourly and 30 salaried positions, according to documents filed with the state.
Under the company’s original restructuring plan, the Grand Rapids plant was expected to be “substantially closed” by the end of the second quarter of 2020.
After the anticipated sale of the plant, the company expects to maintain use of the facility “as we complete our plant consolidation,” according to a statement. Manufacturing operations are expected to transition to other Knoll manufacturing sites in North America, including a plant in Muskegon.
Consolidation of the Grand Rapids facility has “understandably been set back three to six months” because of a decision to suspend equipment moves in March in response to the outbreak of COVID-19 in the state, according to the company.
A representative of the company did not respond to a request for comment in time for this report.