By Catharin Shepard • Editor • The “largest capital investment in the history of Hoke County,” slated to create over 200 jobs, got started this month with a toss of shovelfuls of dirt at the county industrial park on Golf Course Road.
North Carolina Gov. Josh Stein was one of the officials with his hands on a shovel handle, as Pennsylvania Transformer Technology celebrated a groundbreaking for a $102 million expansion of its manufacturing operations in Hoke County.
“You know that they made the best decision, because it was one based on three decades of knowledge of this community. I just asked him, why did you choose Hoke County? Because honestly, they could have chosen pretty much anywhere in the country. Probably anywhere in the world,” Stein said. “He said, because they’ve been here for 30 years and they know that the people of Hoke County can do what’s necessary to help this company succeed.”
Stein joined Pennsylvania Transformer Technology President Sandeep Chakravarty, JLL Managing Director Dianne Jones, Quanta Vice President of Southeast Commercial Operations Chip Wood and Hoke’s local and state elected officials in marking the start of construction on the expansion.
While creating hundreds of jobs with an average wage of about $65,000 – about $20,000 more than the average wage in Hoke – the facility will be manufacturing vital electrical grid components.
“PTT is a major manufacturer of power transformers that support utilities, municipal power, renewable energy and much more. PTT has called North Carolina home, as we just said, for more than three decades at this point, and today the company is renewing and deepening its commitment to the state,” Stein said. “This $100 million expansion in Hoke will increase the nation’s domestic manufacturing capacity for critical electric grid components, and will reduce supply chain vulnerabilities for essential electrical equipment. It does all of those things, and it is the largest capital investment in the history of Hoke County.”
Pennsylvania Transformer Technology has operated in Hoke County since 1992 at its facility located off of U.S. 401 in East Hoke. The company needed room to expand its manufacturing of transformers, and settled on the county’s industrial park as the ideal location.
Stein thanked Chakravarty for his company’s investment in bringing more economic opportunity to rural North Carolina.
“Thank you for being here, thank you for understanding the assets that this community offers and taking advantage of them,” the governor said. Stein presented Chakravarty with a piece of North Carolina artisan pottery to commemorate the event.
In remarks, Chakravarty said that the new expansion symbolizes the company’s “enduring commitment to advancing American manufacturing and reducing supply chain gaps in the market.”
“Today marks not only the commencement of construction, but the beginning of a new chapter in our company’s journey and in our partnership with this community going back to 1992,” he said.
“It reflects our confidence in the strength of this nation’s workforce, the resilience of its industries and the promise of its future. By investing here, we reaffirm our dedication to fostering economic growth, technological innovation and sustainable development.”
He extended gratitude to the company’s employees, partners, public officials and the parent company Quanta.
“And to the families and residents of this community, thank you for supporting us over the years. We look forward to a mutually beneficial, lasting relationship,” Chakravarty said.
The new manufacturing facility will be equipped with advanced technologies and designed to meet the highest standards of efficiency, safety, and environmental responsibility, the president said. It will expand the company’s competitiveness and strengthen the U.S. supply chain, while generating “significant employment opportunities,” Chakravarty said.
The company is working with Sandhills Community College on workforce training.
Hoke County Commission Chairman James Leach reflected on the county’s very first partnership with PTT many years ago.
“Back in 1992, Hoke County made a very hard and tough decision, but it was a good decision. It was able to loan dollars to PTT on their facility out on 401 in Hoke County. We noticed the growth and we saw an opportunity. We were able to take that opportunity,” Leach said.
“We didn’t have much to offer, but we learned early on, when you have nothing to lose, offer all you got and it will work for you. And for that reason, local government is standing here today.”
He recognized the county’s staff, including Economic Development Director Will Wright and County Manager Letitia Edens among others, who worked in partnership on the project with PTT.
“Hard-working people working together bring good jobs to the county where it’s much needed,” he said.
Hoke and Scotland County’s State House District 48 Rep. Garland Pierce thanked PTT for contributing to Hoke County being one of the fastest-growing counties in the nation.
“North Carolina has prided herself for many decades on being a business-friendly state that prioritized attracting high-quality jobs. We’re grateful to you for recognizing this and choosing to invest with us,” he said.
Incentives agreement
Hoke County is offering a tax break to Pennsylvania Transformer Technology as part of economic incentives tied to the project. The county will refund 85 percent of the ad valorem taxes for two years, 75 percent for two years, 65 percent for two years and 55 percent for one year.
The county is getting funding assistance from the state to extend utility services at the industrial park. The county received about $2.8 million in grants to help pay for the extension, leaving the county to pay about $818,000. The cost to extend the water line is about $452,000.
The board voted at its meeting in February to have the county attorney negotiate the sale of about 78 acres of county-owned land to Pennsylvania Transformer Technology. The 78 acres of property at the industrial park was appraised for a value of $751,500. As an incentive, the county proposed to sell the land at a price of $4,500 per acre for a total of $352,395.
(This story was originally published in the December 17 issue of The News-Journal.)