CertainTeed LLC, a maker of roofing, ceilings and other building products, plans to move into a new office in Ohio as it grows.
On April 25, the Ohio Tax Credit Authority approved a 1.398 percent, 7-year job-creation tax credit to support the company's growth. CertainTeed expects to add 38 jobs and $2.6 million in annual payroll as a result of the move from Lakewood to Strongsville.
The state incentive is worth an estimated $225,000, though the ultimate value will be determined by the company's performance.
CertainTeed, based in Malvern, Pa., is a subsidiary of Saint-Gobain, a major French manufacturer of construction materials. In 2019, CertainTeed set up shop in Lakewood by buying the wood-ceilings business of Norton Industries.
The local manufacturing operation, which also makes wall panels, is set to move during the fourth quarter, operations leader Luis Granja said during a phone interview. He said the Lakewood facility has 44 employees.
The new location, in southwestern Cuyahoga County, is about twice the size of CertainTeed's current home. It's also much more modern and open, said Chris Wenz, the local performance improvement manager.
The Strongsville space will allow the company to better serve its customers at a time of unprecedented demand for construction products, Regan Gallo, vice president and general manager of CertainTeed's architectural product group, said in a news release.
"This expansion is an investment in our future," Gallo said. "We are committed to our employees, the people of Strongsville and northeastern Ohio. We thank the state of Ohio for its support."
CertainTeed has more than 6,900 employees and upwards of 60 manufacturing facilities in North America. Over the last six months, Saint-Gobain has announced large capacity-building investments in CertainTeed plants in the southeastern and western United States.
In 2021, it purchased Canadian molding and trim manufacturer Vi-Lux Building Products, to increase production capacity of cellular PVC trim materials.
Ohio was vying against Colorado and Canada for the ceiling-products project, according to a scope of work provided by the Ohio Department of Development. Granja confirmed that CertainTeed eyed other sites before settling on Strongsville, which is a central location for existing employees.
"We've got a good culture here, with the team here," he said, "so we wanted to remain."
The state tax-credit agreement requires CertainTeed Ceilings Corp. to maintain operations in Strongsville for a decade. The company, which had 28 employees and $1.7 million in payroll in Lakewood when it requested state tax credits earlier this year, expects to add the new jobs by December 2024.
Team NEO, a regional economic-development organization, worked on the deal with JobsOhio, the state's private nonprofit economic-development corporation, and the Ohio Department of Development.
"The Northeast Ohio region is an ideal match for CertainTeed Ceilings to grow their business, with our 7,700 manufacturing facilities and robust supply chain," Bill Koehler, Team NEO's CEO, said in the news release.