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Published Wed, Feb 08, 2012 12:00 AM
Modified Tue, Feb 07, 2012 11:26 PM

Garner hears ideas for ConAgra site

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- snagem@newsobserver.com

GARNER -- For nearly five decades, workers made sausage and later Slim Jim meat snacks at a sprawling factory near Interstate 40. But now, Garner leaders and economic-development experts hope to steer clear of food makers and attract higher-paying biotechnology or pharmaceutical jobs to the site.

Sanford Holshouser, a Raleigh-based consulting firm, has laid out some potential guidelines as Garner tries to bring new tenants to the former ConAgra Foods plant on Jones Sausage Road. The average salary should meet or exceed Wake County’s average income of $46,800, the firm says. And companies should create at least 440 jobs – roughly the number of workers ConAgra had when it left town in May. Also, tenants should bring a tax base of at least $55 million.

The Garner Economic Development Corp., which now owns the 106-acre property, hired Sanford Holshouser to create plans to redevelop the site. On Wedesday, the company presented early plans to the Garner Town Council and the public.

An explosion sparked by natural gas ripped through the ConAgra plant in June 2009, killing three workers and mortally wounding a contractor. ConAgra, a Nebraska company, closed the plant last spring, leaving hundreds of workers out of jobs. As a parting gift, the company donated its property to the town, along with $500,000 to market the site to new tenants.

The life-sciences field, which includes biopharmaceutical firms and medical-device makers, is a growing industry that could bring good jobs and a strong tax base to Garner, said Crystal Morphis, a managing partner for Sanford Holshouser.

But it won’t happen overnight, she said. “It takes time to redevelop property like this,” Morphis said. “I know folks in the community probably want to see something there today or yesterday, but it takes time.”

Garner could easily attract businesses that need warehouse space, Morphis said. But such companies would likely bring few jobs and offer low wages.

Some food-production companies have already expressed interest in the plant, which has about 200,000 square feet of office and manufacturing space. But Town Manager Hardin Watkins said jobs in that industry would likely have an average annual salary of less than $30,000.

“It became apparent to us that food is not going to work if you want to see high wages,” Watkins said.

ConAgra offered an average salary of about $38,000, he said.

Garner could market the property to one company or several different companies, Morphis said. It could leave the building intact or tear it down.

But maintaining the plant for an extended period might be unrealistic. The Garner Economic Development Corp. is spending $16,000 a month on insurance, utilities, pest control and other expenses at the site, said Tony Beasley, the town’s economic-development director.

Companies looking for a plant have lots of other options throughout North Carolina, said Bruce Andrews, president of the Garner Economic Development Corp. “I think it’s going to be difficult to sell it as it is,” he said. “We can’t afford to keep it there for a real long time.”

But the ConAgra plant has a water-treatment facility that could attract biotechnology firms, said Ken Atkins, executive director of Wake County Economic Development. Few sites have that feature, he said.

“I think this site has huge opportunities for Garner,” Atkins said. “It’s a gateway site; it’s next to the interstate.”

Dozens of people gathered in Garner on Wednesday to learn more about potential plans for the area.

James Colclough, 47, of Clayton cleaned the machines at ConAgra until the company left. He hasn’t found another job, and he hoped to hear news of new jobs at the public information session.

“That’s why we all came out, hoping they had something going on,” Colclough said. “We all need jobs. We need insurance.”

William Clark, 53, of Clayton worked for several years as a machine operator at ConAgra. He has since found work at a distribution company in Johnston County, but the pay isn’t as good.

Clark said he’d like to see decent-paying jobs return to the site of his former employer.

“Something similar to ConAgra, but better,” he said.

Sanford Holshouser will finalize its plans and is scheduled to make a recommendation to the Garner Town Council on Feb. 21.

Nagem: 919-829-4758

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