Indianapolis-based Hahn Systems LLC, a supplier of construction and industrial tools, announced Tuesday morning that it plans to add 20 jobs by 2016 as part of a $900,000 expansion.

The company said the investment will go toward purchasing and equipping a 27,000-square-foot facility at 6312 Southeastern Ave. on the city's southeast side. Hahn's current address is 5762 W. 74th St.

The new building will house the company’s Southeastern Supply Co. division, which is expected to be operational by June. Hahn Systems has 50 employees and has begun hiring for additional sales, customer service and delivery positions.

The Indiana Economic Development Corp. said it will provide Hahn Systems up to $140,000 in performance-based tax credits and up to $20,000 in training grants based on the company's job-creation plans. The city of Indianapolis approved additional tax abatements.

Founded in 1938, Hahn Systems supplies construction and industrial tools, including nails, staples, abrasives and fasteners, to wood-based manufacturers, in addition to residential and commercial contractors in the Midwest.

The company added lines of lumber, drywall and other masonry supplies to its inventory through the purchase of Indianapolis-based Southeastern Supply Co. in June.