A provider of infrastructure solutions for data centers and other commercial buildings will invest $14.9 million to establish a new manufacturing facility in Russell County, creating 170 new jobs, the governor’s office announced Thursday.
Tate, a global company with U.S. headquarters in Jessup, Maryland, will use the new facility to “focus primarily on data center component manufacturing and containment products to serve customers in Virginia and other data center sites,” according to a news release from Gov. Glenn Youngkin’s office.
A data center is a building that houses computer network servers and other information technology infrastructure. Tate’s products include access floors, airflow controls, and containment features such as doors and partitions to organize such centers and keep the air clean and flowing properly inside.
Northern Virginia is the largest data center market in the U.S., having hundreds of facilities. In Southwest Virginia, efforts are underway to create a complementary market, dubbed Data Center Ridge, in Wise County.
“Tate is excited to begin operations in Russell County. The facility is an integral addition to support our commitment to manufacturing innovative infrastructure solutions for the data center industry,” Tate General Manager Daniel Kennedy said in the news release.
A Tate company official did not respond Thursday to a request for more information about the timeline for establishing the new manufacturing plant.
The Virginia Economic Development Partnership worked with Russell County and the Virginia Coalfield Economic Development Authority to secure the project for Virginia, competing against “numerous” other states, according to the news release.
Youngkin approved a $700,000 Commonwealth’s Opportunity Fund grant to help Russell County, the Virginia Tobacco Region Revitalization Commission approved a $146,000 Tobacco Region Opportunity Fund grant to support the project and the state will support the company’s job creation through the Virginia Talent Accelerator Program.
The company will occupy a building in St. Paul that the Russell County Industrial Development Authority purchased with $2.5 million in financing from the VCEDA. The VCEDA also approved up to $250,000 for workforce development and training, according to the news release.
Ernie McFaddin, chair of the Russell County IDA, said in an email that the building at 16360 Bush Place totals 284,000 square feet and was last occupied by Bush Industries, a furniture manufacturer. It has been vacant for approximately 15 years.
“Through projects like this one, we can continue to transform our communities and our region by providing jobs that give our residents the ability to thrive,” McFaddin said in the news release.
Youngkin said Southwest Virginia “is committed to business attraction and offers the environment and skilled workforce to help its corporate partners succeed.”
”We are excited to see all that Tate accomplishes in Russell County,” he said.