Rosenboom announces $16 million expansion
SHELDON, Iowa -- Rosenboom Machine and Tool has announced a $16 million expansion in Sheldon and hosted a groundbreaking event on Thursday. Rosenboom Machine and Tool Inc. was established in 1974 and is a privately owned company with approximatel...
SHELDON, Iowa -- Rosenboom Machine and Tool has announced a $16 million expansion in Sheldon and hosted a groundbreaking event on Thursday.
Rosenboom Machine and Tool Inc. was established in 1974 and is a privately owned company with approximately 800 employees with three domestic manufacturing locations in Sheldon (corporate), Bowling Green, Ohio, and Spirit Lake, Iowa. Rosenboom designs and produces a variety of products including hydraulic cylinders, actuators, accumulators and high pressure gas springs. Its products support many heavy-duty applications across several industries including: agriculture, construction, military, material handling, refuse and waste handling, utilities, commercial, transportation and mining.
The U.S. Army Tank-automotive and Armaments Command (TACOM) Life Cycle Management Command (LCMC) has awarded a production contract for the Joint Light Tactical Vehicle (JLTV). Rosenboom has production responsibility to supply two key components of the suspension system, a HPG Spring and a HPG Pump. In addition, Rosenboom has identified a potential opportunity to vertically integrate the business through the creation of an in-house metal finishing operation that would chrome plate and finish steel tube and bar materials to feed the production requirements of its current manufacturing facilities. Traditionally, Rosenboom has purchased these inputs from various North American suppliers.
“Rosenboom is excited about the possibility of constructing a new production facility here in Sheldon to facilitate and to support new business opportunities,” said Lary Rosenboom, president of Rosenboom Machine and Tool. “Sheldon is where our business began more than 40 years ago, and this will be the eighth expansion of growth by Rosenboom in Sheldon.
“With the addition of this new facility, Rosenboom will be positioned to better meet our current requirements and support new growth in the future. We appreciate the support of the Sheldon Community with the progress of community development and the incentives provided to businesses for the growth of our community.”
Rosenboom’s proposed project includes over $16 million of total investment that includes a 46,000-square-foot manufacturing production line in Sheldon. The project is expected to create up to 54 new jobs within three years, many of which will be high quality jobs adding to their current employee base of 260. The average wage for these new jobs will be $40,800 per year, and the new annual payroll created after 24 months is estimated to be $1.8 million.
The city of Sheldon has awarded Rosenboom Machine and Tool a full, five-year tax rebate based upon an estimated $2.5 million valuation of a 46,000 square foot expansion project.