Kellogg, the multinational cereal maker headquartered in Battle Creek, MI, announced plans for a regional service center in Grand Rapids that is part of the company’s four-year restructuring and efficiency program known as “Project K.”
The Global Business Services facility will be located at 5300 Patterson Avenue SE in a 395,000-square-foot office and industrial building that housed religious books seller Zondervan Publishing until 2013. According to the Grand Rapids Business Journal, Chicago-based investors Franklin Partners acquired the building in May last year in a $13.5 million deal that was brokered by Colliers International. In an effort to follow the market’s demand at the time, the new owners later went on to divide the mega-structure into two facilities, offering 100,000 square feet of Class A office space in one building and 200,000 square feet of industrial space in the other.
“Grand Rapids is a vibrant community and urban center of a growing region of more than 1 million people,” Kellogg President and CEO John Bryant said in a press statement. “As Michigan’s second-largest city, and a short distance from our headquarters, Grand Rapids is known for its proximity to major markets—including Chicago and Detroit—as well as affordable commercial space and a highly qualified workforce,” Bryant added.
MLive.com says Kellogg currently has two baking facilities in the Grand Rapids area: one is located at 310 28th Street Southeast and produces “Pop Tart” and “Special K” bars, and the other facility is located at 5353 Broadmoor Avenue Southeast and produces snack bars.
Kellogg, which has over 2,000 employees in Battle Creek, is expected to add 300 to 600 new hires in Grand Rapids—with roles varying from finance and information technology to supply chain and human resources—where it will fully occupy Franklin Partners’ 100,000-square-foot office building. According to an official statement from the company, the new regional service center is expected to open in the third quarter of 2014 when around 50 finance employees will relocate from the Battle Creek offices. The facility will become fully operational in 2016.
Image courtesy of Franklin partners