Software Company Relocation A Boost To Jobs In Warren
Written By Sherbie Worthen - The New England Business Bulletin
WARREN, R.I. - Economic officials in Warren are excited about the recent decision by high-tech firm, AVTECH Software, to relocate its corporate headquarters to Cutler Mill, an 1868 structure located at the intersection of Child and Cutler streets in the heart of Warren. A private manufacturer of environment monitoring equipment for computer rooms and data centers, AVTECH is expected to make the move from Newport early in 2009.
Originally used to manufacture textiles, Cutler Mill currently houses several small businesses who lease space in the 48,960 square foot building which sits on 2.13 acres. New owner Michael Sigourney, AVTECH's founder and president, plans to keep several existing tenants in the mill building including Basically British Tea room and East Bay Chamber of Commerce.
Rhode Island Fencing Academy, located on the second floor where AVTECH plans to set up shop, is considering a move to nearby American Tourister Building in Warren.
For J. Alan Crisman, executive director of the Mount Hope Enterprise Zone which includes the Cutler Mill, the presence of AVTECH could open up whole new industry demands in the region.
Crisman has spent the past 15 years bringing businesses to the Bristol and Warren area and said, for many years, the main industries in the two towns have been boat building and other blue collar endeavors. Machine shops and working with one's hands are primary types of business with little to no demand for high tech, according to Crisman.
But AVTECH's impending move is expected to create new demand.
The company has been located in Newport, next to the Naval Station, since 1993 and serves customers that include the U.S. government and 80 percent of Fortune 1000 companies, according to an AVTECH statement. In a statement announcing the planned move the company said it expects to grow over the next few years, indicating it hopes to more than double sales revenues.
According to Sigourney, in addition to moving AVTECH's 25 Newport employees to Warren, the company plans to establish a training component at Cutler Mills that will require additional staff. Many of AVTECH's resellers will be trained at the new Warren facility.
"We will be bringing resellers from around the world in small groups to our Cutler Mill facility for training," Sigourney said.
Speculating on the ripple effect of AVTECH's move to Warren, Crisman noted that even though the majority of employees living on Aquidneck Island will probably continue to commute to AVTECH in Warren, there are expected to be staff increases with new jobs falling in the $65,000 salary range.
The timing of the Warren deal was important to making it work, according to both Crisman and Sigourney. AVTECH initially searched for space that would allow them to remain in Newport but when their pressing need for more space could not be met, they expanded their search off island.
Crisman helped expedite the agreement by aiding AVTECH in securing a Small Business Association 504 loan and working with the Department of Environmental Management in their process of clearing the commercial site from ground water contamination and site remediation.
With Crisman's knowledge and background he was able to speak the DEM lingo, thereby shortening a process that could have taken months before reaching final approval. Instead, Crisman said, the project manager worked very hard to help make the deadline for closing.
According to Crisman, AVTECH may also benefit from property tax stabilization that will depend on the extent of modification to the building and the number and quality of new jobs created. Through its Property Tax Stabilization program, the town of Warren offers tax abatement programs to businesses who build new or expand existing facilities in the area. In addition, AVTECH will receive a $5,000 to $10,000 tax credit from the state for every Rhode Island resident hired in the new facility.
Crisman said he looks forward to working with Michael Sigourney and the Warren Town Council to renovate the Mill space. Current plans include maintaining the building's historical features and continuing improvements begun by former owner, Dave Westcott. Free wireless internet access will be one of the enhancements.
WARREN, R.I. - Economic officials in Warren are excited about the recent decision by high-tech firm, AVTECH Software, to relocate its corporate headquarters to Cutler Mill, an 1868 structure located at the intersection of Child and Cutler streets in the heart of Warren. A private manufacturer of environment monitoring equipment for computer rooms and data centers, AVTECH is expected to make the move from Newport early in 2009.
888.220.6700
Sales@AVTECH.com
AVTECH Software, Inc.