By JAN LARSON McLAUGHLIN
BG Independent News
Exercise equipment giant Peloton secured a 100% property tax abatement over the next 15 years Thursday morning from the Wood County Commissioners.
The company announced last week it plans to invest $400 million and employ 2,147 workers at a new plant in Troy Township.
A deal has already been approved by the township, with Eastwood School District getting $389,000 and Penta Career Center getting $43,000 annually.
“We’re very excited to be moving to this area,” said Brad St. Louis, senior manager of automation and controls for Peloton.
“I think the whole region is excited about having you join Northwest Ohio,” said Wood County Commissioner Doris Herringshaw.
“It’s great to have diversity outside the automotive industry,” said Commissioner Craig LaHote.
Ground will be broken in July or August on 200 acres just north of the Home Depot facility off Pemberville Road. The plant is expected to be up and running by the first quarter of 2023.
The exercise equipment company will be producing its bikes and treadmills.
“I’d rather not commit to a number right now – but it will be a big one,” St. Louis said of production goals.
Peloton saw massive growth in demands for its exercise equipment during the pandemic. That has slowed a bit, but is still maintaining an increased level, according to St. Louis.
“We’re still in a growth movement,” he said.
St. Louis told the commissioners that Peloton spent several months looking for the best location for its 1 million square foot plant. In the end, the amenities and workforce of this region won out.
“The proximity to resources and people” helped seal the deal, he said.
The company plans to complete its hiring of 2,147 workers by 2025, with employees needed for the factory floor, skilled labor and management. The plant is expected to have a projected annual payroll of $138 million.
St. Louis did not pinpoint a starting wage to be offered by Peloton, but said, “we anticipate beating the prevailing wage in the area. We want to hire the best of the best.”
The Peloton plant will not be a big box building, according to St. Louis. The company builds facilities that are architecturally beautiful, with landscaping and water features, he said.
“We really want to make this a place where people want to come to work, and continue to work,” St. Louis said.
In addition to the factory, Peloton will likely have a small store to sell its exercise equipment and clothing at the site. Similar stores are located at other Peloton production sites across the world – like Peloton London, Peloton New York – and soon Peloton Troy Township, he said.
“We want the public to feel welcome,” St. Louis said.
The Peloton Output Park is expected to be one of the largest connected fitness manufacturing plants in the world. The facility will be built from the ground up in Troy Township and house the latest in industrial technology and automation to make products more efficiently and to ensure quality unit assembly. On campus, Peloton plans to incorporate renewable energy sources to power its operations.
In addition to the active manufacturing floor, Peloton has plans to build office space for new team members including a fitness center with the latest connected fitness equipment and a team lounge with plenty of room to collaborate.
“This is a great win for Wood County and Northwest Ohio in general,” Wade Gottschalk, executive director of the Wood County Economic Development Commission, said last week. “It’s a global brand name that chose Wood County.”
