(Seguin) — A new economic development project is bringing more jobs and more opportunities to Seguin.
The Seguin City Council approved a deal on Tuesday that allows Ranch Hand, a division of Lippert Components, to break ground on a new 400,000 square foot state-of-the-art manufacturing facility along Interstate 10 in Seguin. The deal represents a multi-million dollar investment in the Seguin economy and it will results in hundreds of new jobs.
Economic Development Director Josh Schneuker, who will soon be leaving for another economic development post in San Antonio, is leaving Seguin with a bang. Schneuker says Ranch Hand is an industry leader in grill guards and bumpers, and many of its products are prominently featured on popular television shows, like Yellowstone and Land Man.
Schneuker says the announce of this deal is a good day for Seguin.
“Today we’re having in front of you a Chapter 380 agreement between the city of Seguin and Curt Manufacturing LLC. So, Curt Manufacturing is a subsidiary of Lippert Components and that is the parent company of Ranch Hand and that is the company that will ultimately be occupying the 400,000 plus square foot facility that will be built at the Tri-Point Logistics Center development there immediately adjacent to Caterpillar,” said Schneuker.
Ranch Hand’s new Seguin facility will nearly double its current manufacturing capacity. The facility will also feature a state-of-the-art E-Coat line, which has a zirconium pre-treatment process that will greatly increase the corrosion resistance of its products.
“This is going to represent a pretty substantial manufacturing and industrial development. In terms of capital investment and job creation, it’s one of the higher end projects that we’ve seen in recent history,” said Schneuker.
There are many layers to the deal. Schneuker says the bottom-line is that Lippert’s Ranch Hand will set up operation in Seguin and bring more than 300 new jobs with them.
“This is being developed by Ackerman, a developer based out of Atlanta, Georgia. They will be constructing a 400,000 plus square foot facility that Ranch Hand will occupy. We anticipate that the investment on this project – the total investment from the developer and the company themselves, will reach at least $80 million and help create over 320 new jobs here in Seguin,” said Schneuker.
The city is offering the company a tax break in exchange for its investments and job creation in Seguin.
“The incentive structure, per the Chapter 380 Agreement, is over a 10-year period. It is a deteriorating rebate schedule to the company. So, years one and two will rebate 80% of real and personal property to the company. Year three and four will be 75%. Year five-50%, year six-40%, year seven-30%, year eight-20%, and then nine and 10 will have 10% rebates there as well,” said Schneuker.
There are benchmarks included in the deal, which help to protect the city’s partnership with the company.
“This is a performance-based incentive. So, in order for the company to realize the incentives, they do have certain performance obligations, that they will have to meet. Specifically, a certificate of occupancy being issued on or before December 31 of 2026, and meeting those capital investment benchmarks of at least $20 million. That’ll be over a two-year ramp-up period. And then meeting job and payroll targets over a three-year period and then maintaining certain levels through the term of the agreement. Ultimately, 320 jobs at $20 million in payroll there as well,” said Schneuker.
The Seguin deal will allow Lippert and Ranch Hand to consolidate two of their facilities, with some team members from the Shiner and Beeville operations beomg allowed to be part of that transition.
Brian Schudiske, senior vice president of operations for Lippert, was present for Tuesday night’s announcement. He says they are thrilled to be in Seguin.
“We’re super excited to really make the move to Seguin. We’re looking forward to this being the home of Ranch Hand and very, very proud of it. Working with Josh has been tremendous and he made this decision a very easy decision for us. So, (we are) very much looking forward to it and thank everybody for your support and really looking forward to being here,” said Schudiske.
In a statement released after the vote, Mayor Donna Dodgen said that the city was thrilled to welcome Ranch Hand and Lippert’s latest expansion to the Seguin. She says the project represents another significant investment in the community’s growing manufacturing base and demonstrates the confidence companies have in Seguin as a place to do business.