The former Simonsen Iron Works facility has been purchased by Godbersen Metal Works, a startup manufacturing company with Ida Grove connections.
At last week’s meeting, the Spencer City Council approved its $37,500 portion of a $75,000 Spencer Area Jobs Trust forgivable loan to the company.
To have the loan amount forgiven, Godbersen Metal Works (GMW) must create 25 new jobs.
“They’ve committed to adding 25 jobs over the next two years and expect to grow beyond that,” Spencer City Manager Amanda Mack said at last week’s council meeting.
Godbersen Metal Works (GMW) will need to create those 25 jobs to have the loan forgiven.
Funding for the city’s contribution toward the loan will come from its economic development fund.
The city worked with the Iowa Lakes Corridor Development Corporation, Spencer Municipal Utilities, Iowa Lakes Electric Cooperative, Spencer Area Jobs Trust, Iowa Area Development Group and other business members in the community to recruit Godbersen.
“Really great company,” Mack said. “We’re excited to have them in town.”
GMW is expected to finish acquiring the building this month and hopes to begin operations by the end of the year.
The Simonsen facility was shut down in March. At the time, it employed about 35 people.
“Nice turnaround in the filling of a big facility,” councilman Tom Nelson said. “That’s awesome.”
Mayor Kevin Robinson said the announcement is another economic development win for the city in the last couple of years.
“We’d like to thank the staff and the Corridor and everybody involved in getting this project moving,” Robinson said. “When you look at the total impact and the number of families, you know, just everything related to those facilities filling, sometimes we just need to take a pause and just be thankful I think that as a community we’re able to continue to be a regional hub with a strength of manufacturing.”