Phil Castle, The Business Times

The staff and board of directors of the Grand Junction Economic Partnership set some audacious goals for 2023 — among them to support a total of 10 business relocations or expansions by the end of the year.

The economic development organization not only achieved that goal, but also set a record in the process. Moreover, those so-called “wins” are expected to result in a total economic effect of nearly
$52.3 million. That means every dollar invested in GJEP returned $65 in economic effects.

GJEP highlighted those numbers and more in its recently released annual report for 2023 and will review them again as part of the Western Colorado Economic Summit scheduled for April 16 at Colorado Mesa University in Grand Junction.

Curtis Englehart, executive director of GJEP, says the staff and board were gratified with what was in 2023 the best year for the organization. “Everyone is very pleased and excited.”

Moreover, Englehart expects that momentum to carry into this year as GJEP works with more than 100 prospects and 18 leads. “We’re very optimistic about 2024.”

GJEP reported it’s support for 10 of what it termed quality business relocations and expansions in 2023 while also engaging in 16 local assists and ongoing support to businesses that previously relocated or expanded.

The biggest of the 10 wins, Englehart says, was the announcement in October a Costco Wholesale operation will come to Grand Junction. The new Costco will be located on the north side of 24 Road and Interstate Highway 70 and is expected to open in 2025.

The operation is expected to result in 275 net new jobs paying an average annual salary of $47,507 and a capital investment of $59 million. “It’s such a huge win,” Englehart said.

He expects the Costco operation to draw customers from around the region, adding to what’s a retail and health care hub in the Grand Valley.

Other wins for GJEP in 2023 included the relocation of Skyhook Solar, a manufacturer of solar-powered charging stations, from the Roaring Fork Valley of Colorado to Grand Junction.

Spartan Drill Tools, a drill tool manufacturer, announced it was expanding its Fruita-based operation with the opening of a new manufacturing division in Grand Junction.

Oak Star Bank announced plans to build a 12,000-square-foot facility at the Riverfront at Las Colonias development in Grand Junction. The facility will include a bank operation as well as a restaurant and retail and office space. The building is expected to open in late 2025.

GJEP also helped Phoenix Haus land a $710,000 grant to construct 90 housing units. The prefabricated house designer and manufacturer specializes in environmentally friendly homes that can be used by multiple generations. The company uses manufacturing processes that increase quality and output and result in prefabricated building systems that meet the highest environmental and energy standards. A new home from Phoenix Haus is projected to cost around $500,000.

Englehart said the effort will add needed housing inventory in Mesa County while also promoting new jobs and capital spending.

All told, the efforts of GJEP in 2023 created 161 new primary jobs paying an average annual wage of $61,085, Englehart said An additional 403 primary jobs are expected. The capital investments of the new and expanding businesses total more than $20.7 million, he said.

Given the additional effects of wages and capital spending, the total economic effect of GJEP efforts in 2023 came to nearly $52.3 million, he said. That meant every dollar invested in GJEP returned $65 in economic effects.

For 2022, GJEP efforts resulted in seven wins and a total of nearly $15.7 million in economic effects. Every $1 invested in GJEP return $20 in economic effects.

Englehart said he expects the momentum of 2023 to carry into 2024. “I do believe 2024 is going to be a good year.”

GJEP already has announced this year the relocation of the Goose Gear outdoor recreation manufacturer from southern California to Grand Junction. The firm received tax credits to create up to 49 new jobs over eight years.

Tandem Studio, a firm that produces three-dimensional architectural renderings, moved from Belgium to Fruita.

GJEP is working with what Englehart said are 104 qualified prospects and 18 leads to determine if those businesses constitute a good fit for Mesa County. Prospects come from a variety of industry sectors, he said, including the aerospace, construction, manufacturing, outdoor recreation and technology sectors.

Higher interest rates and building costs along with nationwide labor shortages constitute headwinds to economic development, Englehart said. Presidential election years tend to add uncertainty.

But Mesa County enjoys some competitive advantages, he said. The area offers new businesses and their employees a high quality of life. Interstate Highway 70 offers access to shipping, particular to the West Coast. Moreover, a robust workforce is available with a pipeline filled by Colorado Mesa University and CMU Tech.

In addition though, Mesa County offers a collaborative approach to economic development that includes not only GJEP, but also CMU,  the Business Incubator Center and local chambers of commerce. Economic development, he said, remains a team sport.