Home > About BNE > Press Room > 2011 Archive > May > Niagara Transformer plans expansion

Niagara Transformer Plans Expansion

$8 million project includes 14 new jobs

By Matt Glynn

May 17, 2011
 
Niagara Transformer Corp. plans to add 14 jobs over the next two years as part of an $8 million expansion project.

The Erie County Industrial Development Agency board Monday approved $1.44 million in property, sales and mortgage recording tax incentives to support the Cheektowaga company’s project.

Niagara Transformer plans to build a 24,000-square-foot addition to allow for the production of transformers that are larger in scale and higher in voltage than is possible in its current facility, said Karen Fiala, ECIDA assistant treasurer. The company will outfit the expansion with two 75-ton cranes.

The utility industry will be the target market for products made in the new facility. The company expects demand for those products to increase as aging utility infrastructure is replaced and worldwide demand for energy grows, according to ECIDA documents.

The 81-year-old company, located on Dale Road, is a third-generation family-owned business. It plans to increase its work force to 80 employees from the current 66 over the next two years.

The ECIDA board also approved a $324,000 sales tax abatement package to support $4 million in improvements at Rich Products Corp.’s headquarters on Niagara Street. The work will include upgrades of its electrical and heating, ventilating and air-conditioning systems, as well as new roofing.

Rich also plans to redevelop its product presentation area and expand its research and development capabilities and its product testing areas.

Rich has more than 700 full-and part-time jobs at its headquarters. It does not expect to increase its head count as a result of the project.

The ECIDA board also approved the sale of $195 million in bonds to support the ongoing Buffalo Joint Schools Construction Board program, which is upgrading schools.

mglynn@buffnews.com