Steel Warehouse, an integrated steel service center headquartered in South Bend, IN, has chosen Chattanooga as the location to build a new Temper Mill Cut-To-Length Line. The project, which will take the form of an expansion of Steel Warehouse’s Chattanooga-based sister company, LJT Tennessee, consists of a $7.25 million investment that will create 50 new jobs by 2008. When completed, the facility will contain one of the largest Temper Mill lines in the world with the capacity to handle 3/4" thick steel in widths up to 100 inches.

According to Dave Lerman, chairman and CEO of Steel Warehouse and LJT Tennessee, Chattanooga competed with locations in Mississippi and Alabama to win the project. He says the deciding factor was 

Chattanooga’s excellent track-record in handling two  previous projects for LJT. In particular, Lerman cited the efforts of the Chamber’s Existing Business Director Steve Hiatt and the responsiveness of Hamilton County and City of Chattanooga officials.

"Alabama and Mississippi offered aggressive incentives packages," Lerman says, "but we value the relationship we’ve built with this community through the efforts of the Chamber and the active support of the mayors. Our operations have thrived in Chattanooga. You can’t put a price tag on the whole-hearted support of this community."

According to ayor Claude Ramsey, the Steel Warehouse project represents the kind of investment that builds momentum in Chattanooga’s regional economy. "This is the third time this company has announced expansion and job creation plans since 2002," Ramsey says. "These jobs pay the kind of wages that sustain a family. I thank Steel Warehouse and LJT for their continued investment in Hamilton County."

Mayor Ron Littlefield noted that Steel Warehouse is one of a growing number of manufacturing operations that has started up or expanded in Chattanooga in recent years. "As our economy has transitioned over the last few decades, we’ve seen a decrease in manufacturing jobs, but Steel Warehouse is one of a growing number of companies that is helping us turn that trend around," Littlefield says. "Manufacturing will continue to be a cornerstone of the Chattanooga area economy."

According to Trevor Hamilton, the Chambers’ chief economic development officer, the Steel Warehouse project has additional significance since it will increase the flow of commerce through Hamilton County.

"Because Steel Warehouse’s Temper Mill Cut-To-Length Line will have such tremendous capacity, we expect LJT’s shipment of finished steel to increase by 100,000 tons annually," Hamilton says. "This kind of operation has the potential to enhance our recruitment efforts in attracting additional companies."

Hamilton also described the project as a milestone in the effort to create manufacturing jobs. "With this announcement, Steel Warehouse and LJT Tennessee become the 41st manufacturer to announce growth plans totaling 2,438 new manufacturing jobs since Tell the World! began in July 2003," Hamilton says. "Tell the World! has also helped three manufacturers keep 790 jobs in our hometown. Those numbers show the power of consistent economic development efforts over time."

LJT Tennessee is a manufacturer of steel tubing. The company purchased the former Huntco Steel facility located at Centre South Riverport in 2002. In 2005, the company announced plans to invest $7.38 million in an expansion that would create 42 jobs within three years. LJT Tennessee currently has 66 employees.

Steel Warehouse is an integrated steel service center providing numerous processing services for the delivery of production-ready steel to metal stampers, formers, fabricators and manufacturers. The company services a variety of industries including automotive, agriculture, appliance, truck/trailer and construction equipment