CHI Aviation Expanding In Howell Township
January 30, 2020
A global provider of heavy-lift helicopter services is expanding in Howell Township.
The Michigan Economic Development Corporation announced Wednesday that Construction Helicopters, Inc., aka CHI Aviation, is expanding. The project is expected to generate a total private investment of $4.55 (m) million and create 60 new jobs over a three-year period with wages near $45 per hour. CHI Aviation was established in 1980 as a veteran-owned small business. It has 49 employees and is headquartered out of the Livingston County Airport. It operates a fleet of specialized helicopters as well as former military “Chinook” helicopters to lift to move heavy objects and military passengers. The company provides services to the U.S. Department of Defense, the U.S. Forest Service and companies involved in the construction and utility industries. In addition, CHI Aviation has three affiliate organizations under common ownership, including a large sister company headquartered in California that is planning to relocate to Nevada. The company is said to be experiencing additional growth as a result of recently acquired defense contracts and increasing its aircraft fleet. The expansion involves the purchase of an existing 27,000-square-foot building located at 4100 Lambert Drive in Howell Township that would be purchased and updated. As a result, the company has been awarded a $400,000 Michigan Business Development Program performance-based grant.
The expansion will provide sustainable, long term growth in support of the aviation industry, supporting diversification of Michigan’s economy. MEDC CEO Jeff Mason says “CHI Aviation’s continued expansion in Michigan means well-paying jobs for Michigan residents in the state's aerospace sector. We’re pleased to work with Ann Arbor SPARK and other local partners to support the investment by this longstanding Michigan company to continue to positively impact the area’s economy”.
Michigan was chosen over an alternative site in Nevada. Without support under the program, Michigan stood to lose the project due to strong out-of-state competition according to MEDC Director of Business Development Projects Trevor Friedeberg. He says the company operates in many different areas including overseas a lot of the time – noting the company was considering Nevada and had an affiliate company that just did an expansion there so were well aware of the competition in that state. Friedeberg tells WHMI they wanted to make sure they came out with a strong offer to secure the project in Michigan. As part of the program guidelines, various items were taken into consideration for the proposed project - it was not a retail project, involves out-of-state competition, results in high wage jobs, and has a net positive return to Michigan. The project is expected to result in $4.5 (m) million in capital investment and the creation of 60 new jobs that includes mechanics, engineers and white-collar office support with average wages of $45 per hour.
The project is expected to get underway pretty quickly with hiring. Friedeberg says the grants are set up with different milestones and the first for CHI Aviation isn’t due until April 30th of 2021 - by when it will have created 25 jobs. The company then has until April of 2023 to complete all of the hiring of the 60 individuals. Ann Arbor SPARK, which contracts with the Economic Development Council of Livingston County to provide business retention and recruitment services, helped facilitate the project. It offered marketing assistance and help with finding candidates for the new positions. (JM)