IRRRB Board approves loan for Virginia expansion
June 14, 2012
The Iron Range Resources and Rehabilitation Board approved a $500,000 bank participation loan to Conveyor Belt Services to renovate and expand its facilities in Virginia.
CBS is a wholly-owned subsidiary of W.P. & R.S. Mars Company. The company plans a $1.5 million expansion to its Virginia location at 400 South First Avenue. The balance of funding will be provided by a bank loan, amortized over a 15-year period. The building will be used as loan collateral.
The project will update mechanical and electrical systems, convert the building to natural gas, install a new ventilation system and removal of asbestos. The project also will expand its manufacturing facilities by 5,300 square feet.
The company primarily provides conveyor belt at the customer's site. CBS also provides fabrication services, pulley lagging installation as well as new and used belting. Mars Company has offices in Hibbing, Duluth and Bloomington and supplies parts, tools and power transmission products for wood products, mining and manufacturing industries.
Bruce Mars, president of CBS, thanked the board for its approval adding "the time was right" to expand. The company currently employs 28 and expects to add eight more employees following the expansion.
In a separate action, the IRRRB also approved a $125,000 public works grant to the city of Virginia for site preparation work, which will pave the way for this project.
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