Swiss-based security products company Dormakaba Group plans to nearly double the size of its manufacturing operations on the north side of Indianapolis in an expansion expected to create 165 high-paying jobs over the next two to three years.
State and local officials including Gov. Eric Holcomb and Indianapolis Mayor Joe Hogsett announced the news Thursday at Dormakaba Group’s facilities at East 75th Street and Binford Boulevard.
Dormakaba, which acquired the property when it purchased the mechanical security businesses from Stanley Black & Decker in early 2017, said it plans to establish its Access Solutions Americas segment headquarters at the site.
The company plans to build a 200,000-square-foot addition, increasing its manufacturing footprint to 430,000 square feet at the 50-acre site. Work is expected to start on the project this year, and the facility could be fully operational within three years.
Dormakaba plans to hire for front office and finance positions immediately and for manufacturing and assembly positions in one to two years, officials said. The company has applied for both state and local tax incentives.
The Indianapolis Department of Metropolitan Development said the company plans to retain 419 full-time employees at an average hourly wage of $26.18 (about $54,450 per year) and hire 165 workers at an average hourly wage of $34.02 (about $70,750 per year).
The expansion will allow the company to grow production of locks and access-control solutions for numerous markets, including schools and universities, airports, stadiums, health care and retail operations, and government and commercial facilities.
The company said the expanded facility will make products currently produced at some of Dormakaba’s other facilities.
The Indiana Economic Development Corp. offered Dormakaba up to $2.4 million in conditional tax credits based on the job-creation and investment plans. The incentives hinge on the company’s ability to meet hiring goals.
The city is offering up to 10 years of real and personal tax abatements pending approval from the Metropolitan Development Commission. The DMD and Develop Indy support the abatements.
The site was the longtime home of Best Access Systems and its predecessor Best Lock Corp., which was founded in Indianapolis in 1925.
Dormakaba purchased Best from Stanley Black & Decker as part of a $725 million deal for much of its mechanical security business of commercial door locks and door hardware.
Stanley Black & Decker purchased Best in 2002 in a $310 million deal, combining Best’s lock services with Stanley’s automatic door and commercial hardware businesses.
Dormakaba was formed in September 2015 by the merger of Switzerland-based lock maker Kaba Group and Germany-based door maker Dorma Group. Kaba was founded in Zurich in 1862 as a locksmith shop and cash register factory. The company has operations in 60 countries and about 16,000 employees.