Menards wins council approval to establish industrial development district at Veterans Memorial Parkway

Saginaw — The Saginaw City Council approved an industrial development district at 1808 Veterans Memorial Parkway on June 27, clearing an initial local step for Menards Incorporated’s planned bagging facility and related site work.

The action follows a public hearing in which Nick Brenner, a Menards representative, told the council the company recently expanded its site to about 30 acres and is “looking at over a $20,000,000 investment, to build this here in Saginaw.” He said the new bagging operation would service Menards stores across Michigan and parts of Ohio and that the company is seeking tax-abatement support to help offset contamination remediation and other site costs.

Steve Hensley, community and economic development director for Saginaw Future, spoke in support and described the project as “the construction of a nearly 39,000 square foot building” with associated grading, paving and utility work. Hensley gave a breakdown of investment the organization is reporting: roughly $5,000,000 in land and building investment plus about $15.5 million in equipment upgrades that together total more than $20 million.

Why it matters: Menards’ Saginaw manufacturing complex already includes concrete block and distribution operations; council action to designate the parcels as an industrial development district is the formal first step under local rules that enables subsequent tax-exemption applications. Brenner told the council the company currently employs roughly 75 to 80 people at the facility and expects the new operation to add from about five to nine positions depending on seasonal demand.

What the council approved: The council moved to establish the industrial development district for the parcels identified around 1808 Veterans Memorial Parkway during its regular meeting. Council members took no additional local financing action at the public hearing; establishing the district enables Menards to apply for an Industrial Facilities Exemption or similar tax abatement under state law.

Details reported at the hearing: Brenner said Menards purchased three additional acres around its site to reach 30 acres and that the property is contaminated, requiring costly soil management. He said the company intends the bagging facility to reduce supply-chain distance for stores in Michigan and nearby Ohio. Hensley emphasized both the land redevelopment and the job and equipment investment the project would bring.

Council discussion: Council members asked clarifying questions about jobs and the nature of the tax abatement; staff explained the industrial development district is a local designation that precedes an abatement application. No quantitative local subsidy beyond establishing the district was reported at the meeting.

What happens next: Establishing the industrial development district is the local procedural step that allows the company to proceed with any required filings for state or local tax incentives and with required permitting and remediation work. The timetable for permit approvals, remediation completion and construction was not given at the meeting.

Ending: Menards’ representatives left the council with support from the county-level economic-development organization Saginaw Future. Council approval of the district does not itself grant an abatement; any tax-exemption application or additional local incentives would require separate approvals or filings.