South metro dog owners have a new place to pretty up their pets. Fancy Paws Pet Salon, which offers an extensive menu of grooming services for dogs and a few for cats, opened recently at the Lakeville Crossing Shopping Center at 160th Street and Cedar Avenue. Owner Susan Hatch said she's an unabashed animal lover who started grooming dogs at a young age and was inspired to start her business in part by her 9-year-old springer spaniel, Rebel, a brain cancer survivor.

In addition to bathing, trimming and blow-drying, the salon offers ear-cleaning and nail-clipping services. All the grooming is done at the front of the salon so owners can watch. With the owners' permission, pets are rewarded with bows and treats when their grooming is finished.

Pet owners also can arrange to have Hatch's husband, Tim, pick up dogs at their homes and deliver them when they're done.

Hatch said she looked at a few different locations before settling on Lakeville Crossing. She said she likes the central location and also appreciates the understanding of other tenants at the mall. "As you might imagine, it can get kind of loud here sometimes," she said. "But everybody has been very nice."

The business is having its official grand opening Dec. 3-8 with special deals and a raffle for pet grooming and accessories. Hatch said she'll donate a portion of her sales that week and the raffle proceeds to the University of Minnesota's canine brain tumor clinical trials program.

Eagan plant to close

Rheem Manufacturing Co. recently announced plans to close its Eagan facility, Water Heater Innovations, and relocate the operations to a Rheem plant in Montgomery, Ala.

About 40 workers in Eagan will be affected by the closing, which Rheem said will begin early next year and be completed in June.

Atlanta-based Rheem, which makes heating, cooling and water heating products, said it is working with the Minnesota Department of Labor to provide resources for hourly employees and outplacement assistance for salaried personnel.

Hearing on proposed sale

The Burnsville City Council is scheduled to hold a public hearing Dec. 4 on a proposal by Arc Greater Twin Cities to acquire a building that formerly housed Ultimate Electronics.

The property at 14232 Burnhaven Drive has been available since last year, when the consumer electronics retailer went out of business and closed all its Twin Cities-area stores. A Unique Thrift Store already operates in the same shopping center, across the street to the west of Burnsville Center.

Arc, a nonprofit social service organization, already has four used merchandise stores throughout the metro area. It's asking the city to approve an arrangement that would allow it to receive funding to buy the Burnsville property through revenue bonds that would be issued by the St. Paul Port Authority. According to a memo from the city's attorneys, the federal tax code would require government approval of the bonds.

Send your Dakota County business news to; Susan Feyder • 952-746-3282