GENMAK Steel plant moves to get room to grow

The 21/2-year-old company is moving to accommodate expansion.
By ROGER G. SMITH
CITY HALL REPORTER
YOUNGSTOWN -- A growing Sharon, Pa., steel-processing company will move 32 jobs to the Ohio Works Industrial Park.
Genmak Steel expects to invest $7.76 million on a new building, machinery and inventory on 10 acres in the park, said William L. Gensamer, an owner and company president.
The company also is to add 23 workers within three years after moving in.
Genmak plans a 70,000-square-foot, $2.9 million building. Construction is scheduled to start in March. Gensamer expects to start operations at the new location in fall 2004.
The company also will invest $3 million in equipment, including a pair of 30-ton cranes and three 10-ton cranes.
The 21/2-year-old company, which Gensamer operates with his three sons, levels and cuts steel coil. The company had $11 million in sales in 2002. Estimates are $18 million in sales for this year.
Strapped for space
Genmak is growing steadily, and there isn't room for expansion in the leased space where the company operates on Wheeler Street in Sharon, he said.
Gensamer is growing, despite the slumping steel industry, because his employees deliver what they promise to customers, he said.
City council has granted Genmak a 10-year, 75 percent abatement on real and personal property taxes.
The abatement will help offset debt created by the move and help finance equipment needed for expansion, Genmak said in its tax-abatement application.
The tax break, 10 acres in the industrial park for $1, lower workers' compensation costs in Ohio and the location were key factors in the move, Gensamer said.
Also, a bridge to be built is an important element, he said. The city is to award a contract soon to build a bridge from Division Street into the industrial park.
The new bridge will give companies access to Interstates 680 and 80 by way of Salt Springs Road.
rgsmith@vindy.com