Partnership with ALEDA for building construction

Zumbro River Brand, in partnership with the Albert Lea Economic Development Agency, is planning construction of a 74,000-square-foot warehouse that is expected to create at least 20 jobs.

Construction of the food-grade warehouse will begin soon, which will be adjacent to the current Zumbro River Brand plant in the Northaire Industrial Park in Albert Lea, according to an Albert Lea Economic Development Agency press release.

ALEDA is expected to pay for the cost of the building, which is expected to be just under $4 million. Zumbro River Brand will lease the building for staging and warehousing and could decide to purchase the building from the organization in the future, said Noelle Hagen, small business and marketing manager at ALEDA. ALEDA is funded by its own investments and does not rely on taxes, levies, the city or county to fund its operations.

Hagen said the plan is a “great partnership” that adds to the community and helps the strong local company grow.

“This new space allows for Zumbro River Brand to make changes to their existing layout, moving staging space out of their building and moving their warehousing from the South Industrial Park to the new building to increase efficiency,” the release states. “Most importantly, this will allow ZRB to invest their capital into adding another extrusion system in 2017.”

The new system is expected to increase the extrusion capacity of the business by 50 percent, and the space to add a fourth extrusion system in 2018 or 19.

Food extrusion is used in food processing when a set of mixed ingredients are forced through an opening in a perforated plate or die with a specific design, depending on the food, before it is cut to a specified size by blades.

“The addition of each new extrusion system creates 20 new jobs, brings many new customers to visit the plant and generates significant business in Albert Lea for restaurants, motels, supplies, services and other purchases,” said Pam Sander, president of Zumbro River Brand. She described working with ALEDA during the process as an “outstanding experience.”

“ALEDA’s efforts to create jobs and to open opportunities for businesses in Albert Lea are truly creative and effective,” Sander said. “All of the Zumbro River Brand staff involved in this project have appreciated how cooperative and helpful Ryan (Nolander) and his support team have been.”

The jobs will add to the company’s 115 current jobs.

“We believe most of our business growth is going to come from helping our existing companies, and this project does that,” said Ryan Nolander, ALEDA executive director, in the release. “It allows Zumbro River Brand to invest their capital in new equipment and lines, in return creating more than 20-plus new, high-quality jobs.”

In the release, ALEDA officials thanked city officials, Farmers State Bank, design firm Zenk Read Trygstad and Associates and Savelkoul Law Office for their work in the process.

ALEDA will market the south spec building before Zumbro River Brand moves out and will be looking for a new tenant for the building.

“This new building project not only allows us to assist with a local company’s growth, but opens up an opportunity for us to market the other building for another potential business,” Nolander said.