Andersen Corp. to build $105 million complex in Arizona

The $105M facility is part of a major shift in plans for the window, door maker.

September 12, 2018 at 12:36AM
Jay Lund, CEO of Andersen Windows and Doors, said an Arizona factory and distribution center are needed to serve the western states where the company is "experiencing significant growth." (JOEL KOYAMA/Star Tribune file photo)
Jay Lund, CEO of Andersen Windows and Doors, said an Arizona factory and distribution center are needed to serve the western states where the company is "experiencing significant growth." (Joel Koyama/The Minnesota Star Tribune)

Andersen Corp. will build a $105 million factory and distribution complex in Arizona.

The Bayport-based window and door maker said Tuesday it is working with city officials in Goodyear, Ariz., near Phoenix to find a site for the complex. Once completed, the new facility will have about 415 workers.

The new campus could expand, officials said, amounting to a total investment over years of more than $200 million.

Andersen leaders said the expansion "is part of the company's strategy to make significant investments to meet current and future demand for its Fibrex [composite] material-based products."

The proposed campus will include 500,000 square feet of manufacturing and distribution space for Andersen's fast-growing 100 Series product line. Construction is expected to begin in early 2019 and finish by mid-2020. The campus will be owned and operated by Andersen subsidiary Andersen Regional Manufacturing Inc.

News of the project in Arizona comes two weeks after Andersen announced that it will sell its large Silver Line and American Craftsman doors and window line to Ply Gem for $190 million. That sale, which represents about 15 percent of Andersen's revenue and a third of its workforce, is expected to close in the fourth quarter.

The Ply Gem deal and Arizona expansion mark a major shift in the positioning of assets and investments for the 115-year-old window and door maker.

Company officials said they decided to divest their vinyl window and patio-door business to Ply Gem as part of a broader strategy to focus on several key lines, namely Andersen, Renewal by Andersen and specialty brands such as those involving Andersen's fast-growing and proprietary Fibrex composite products.

The venture into Arizona also focuses on Fibrex.

"This new manufacturing campus is an exciting opportunity for us to increase manufacturing and distribution capacity for our fast-growing Fibrex products and expand our presence in the western United States where we are experiencing significant growth," said Andersen CEO Jay Lund.

It was not immediately clear what state or local incentives Andersen will receive for building the new complex.

An Andersen spokesperson said the company is working "to obtain necessary permits and secure economic incentives."

Dee DePass • 612-673-7725

about the writer

about the writer

Dee DePass

Reporter

Dee DePass is an award-winning business reporter covering Minnesota small businesses for the Minnesota Star Tribune. She previously covered commercial real estate, manufacturing, the economy, workplace issues and banking.

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