City succeeds in luring new corporate investment
http://www.thespec.com/news/business...ate-investment
Hamilton is second only to Toronto among Canadian cities in attracting new corporate investment over the past year.
It’s the second year in a row Hamilton has ranked among the top cities in Site Selection magazine’s Canada Best to Invest.
The article will be published Thursday.
There were 21 eligible projects totalling $577 million in Hamilton between June 2010 and May 2011. To qualify for consideration, projects must be at least $1 million and generate at least 50 jobs or at least 20,000 new square feet.
Hamilton’s count came in only behind Toronto with 61. Among the local projects cited by the magazine are steel mill upgrades by ArcelorMittal Dofasco and Max Aicher North America, new facilities for HVAC provider AMTS Ltd., construction equipment manufacturer Top Lift Enterprises, call centre provider SP Data and Union Gas and a new corporate headquarters and training centre for Carstar Automotive Canada.
The strong showing reflects a record-breaking year for Hamilton in 2010, when it reached $1 billion in building permits for the first time.
In last year’s ranking, Hamilton placed fifth in corporate investment.
Hamilton’s economic development department was also named among Canada’s best 10 for the second year in a row.
“Our people telling our story is extremely important to our success,” said Mayor Bob Bratina. He says the city’s economy is often presented in negative terms that ignore falling unemployment numbers, gains made in tackling poverty and the vitality of the local manufacturing sector.
“We’re a little too critical about ourselves. We do have a great future,” said Bratina, pointing out the city still makes 60 per cent of Canada’s steel.
“I think what this really says is our manufacturing sector is vibrant. From the North-End end industrial corridor and into Stoney Creek, company parking lots, with the exception of U.S. Steel, are full.”
Site Selection is based in Atlanta and read by 44,000 corporate executives and consultants around the world who make decisions about locations.
Neil Everson, the director of the city’s economic development division, says his department has put a lot of effort into creating a useful online tool for site selectors that includes GPS mapping, plenty of statistical analysis and live links to real estate listings.
“I don’t think there is anyone better north of the 49th parallel.”
Everson says the city won’t match its building permit record this year but there is a lot of activity in leasing of buildings and a number of major projects that could put the city close to that level in 2011. He stressed that the Site Selection recognition goes well beyond the work at city hall to a local business community willing to make investments.
David Adames, CEO of the Hamilton Chamber of Commerce, says the ranking speaks to the city’s strategic investments in economic development.
“A rating system like this starts to change the narrative about our business development in Hamilton,” he said.
“It sends a message that Hamilton is open for business … we need to do everything we can to support a business-friendly environment in Hamilton. We can’t rest on our laurels.”
Site Selection particularly cited the city’s Hamilton Calling program in which economic development staff visited 400 companies in 2010. Those visits showed Hamilton has gained about 1,300 jobs over the year and that 68 per cent of companies plan to expand over the next three years.
“Agencies all over the world are paying more attention to business retention, especially in bad times,” said Adam Bruns, author of the Canada Best to Invest article and managing editor of the magazine.
“Competent economic development professionals have been paying attention to it a lot longer than that. The Hamilton program is a particularly strong one.”
Site Selection also praised Hamilton’s new comprehensive industrial zoning bylaw which replaced 41 industrial zones among the previous municipalities with six industrial zones in the amalgamated city.
“If cities make it easier to do business, it catches the attention of corporate executives, especially if it’s been difficult in the past,” said Bruns. “But plenty of jurisdictions on both sides of the border haven’t figured that out.”
Hamilton was also named the top real estate investment choice in Ontario and the third best in Canada over the next five years by the Real Estate Investment Network.
The Site Selection edition also named the Ontario Ministry of Economic Development and Trade the recipient of the magazine’s Canadian competitiveness award, pointing out that the province created more than half of the new jobs across Canada between June 2010 and May 2011.
Top Canadian cities
These areas were tops in corporate facilities projects from June 2010 to May 2011. To be eligible, projects must reach two of three milestones: be at least $1 million in investment, create at least 50 new jobs or at least 20,000 new square feet.
1. Toronto61
2. Hamilton21
3. Quebec City17
3. Montreal17
5. Windsor8
5. London8
Top Canadian economic development groups (alphabetical)
Canada’s Technology Triangle
Edmonton Economic Development Corp
Greater Halifax Partnership
City of Hamilton Economic Development and Real Estate Division
London Economic Development Corp
City of Mississauga Economic Development Office
Montreal International
Quebec International
Regina Regional Opportunities Commission
Windsor-Essex Economic Development Corp
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