A GROWING FAMILY BUSINESS FINDS ITS IDEAL HOME IN BUFFALO

 

HSI Metal Stamping is a 31-year-old, family owned company that had resided in other Twin Cities area communities before finding its perfect home: a 40,000 square foot facility in the City of Buffalo 's Centennial Industrial Park in Wright County .

In looking for a home, an expanding business values many of same qualities that a relocating family seeks in a place to live: an environment in which to thrive and grow, comfortable and enriching relationships with neighbors and civic leaders, ideal surroundings.

It was the fourth expansion and second move in two decades for the firm founded by the Paumen's. Buffalo , the largest city in Wright County with an estimated population of more than 12,000, was the community that could supply just what the Paumens' were looking for:

•  An aggressive economic development team eager and willing to help meet HSI's unique needs;

•  A well-sited industrial park that included a location with plenty of room for future expansion (a common occurrence in HSI history);

•  Easy access to major suppliers, finishers, commercial transportation and shipping options via Minnesota Highway 55;

•  A city-owned fiber optic network that links the city, county, school district and local businesses, and assures high-speed telecommunications capability for a company that serves an international clientele; and

•  A qualified labor pool.

“ Buffalo is a very aggressive town (in terms of promoting economic development),” Mrs. Paumen says. “The city is very easy to work with.”

“I have worked with a couple different cities over the years, and I have to say they were probably the easiest to work with,” Mr. Paumen adds. “It's a very good place to be. We've never regretted moving here.”

Buffalo site offers expansion potential

HSI Metal Stamping specializes in manufacturing short- to medium-run metal fabrication of precision parts for the automotive, electrical, computer and other industries. The company has about 60 accounts in three countries and about 30 employees, including the Paumens' son, Paul Paumen and daughter, Paula Herda.

Major clients include Holley Performance Products, a high-performance auto parts maker, and Tennant, a manufacturer of floor and surface maintenance equipment, and another recent job for C.P.C. included making components parts for locks to secure the Taliban detainees' cells at the Guantanamo Bay U.S. Government Detention Center in Cuba .

The company was founded as Hamel Stamping Inc. in 1972 in Hamel , Minn. in Hennepin County . By 1981, the firm had outgrown its original leased space. So, it built a 6,000 square facility in nearby Loretto, which is also in Hennepin County , and changed its name to HSI.

The company kept adding space: 6,000 square feet in 1986 and 8,000 square feet in 1994. Continuing growth ultimately led HSI to seek a new home – one with plenty of opportunity for expansion. That's when the Paumens came to see Buffalo in Wright County as the perfect home for their business.

HSI makes the call, Buffalo runs with the opportunity

Positive word-of-mouth from business acquaintances that were happy industrial residents of Buffalo encouraged the Paumens to make contact with city officials.

The quick-working and problem-solving Buffalo economic development team ran with the opportunity from there. Key players from Buffalo included City Administrator Merton T. Auger, Assistant Administrator Laureen Bodin and Mayor Fred Naaktgeboren .

According to Laureen Bodin, the city put together a package that mixed solid business incentives with an enterprising approach to meeting HSI's particular needs. These included:

 

•  Sale of a site in Buffalo 's 80-acre Centennial Industrial Park for $1;
•  A streamlined development process that featured a boilerplate development agreement ready for the company to sign;
•  Sensitivity to HSI's potential expansion needs. Buffalo officials pieced together the company's industrial neighborhood in a way that assures the firm space to at least double the size of its facility in the future. Making those accommodations involved working with a neighboring business to make sure everybody would coexist comfortably in the future.

 

“We provided them with the land completely improved, ready to be developed,” Ms. Bodin adds. HSI moved into its new facility in 1998.

Wright County gives HSI an edge

 

The Paumens continue to enjoy the company's newest home. Mrs. Paumen appreciates the fact that the cast at City Hall has remained familiar and positive.

HIS employees pose in their new workplace

Qualified workers are plentiful, too. Wright County is Minnesota 's sixth fastest growing county, with a population that increased an estimated 23.6 percent during the past six years. The county work force totals 55,750 according to recent statistics from the Minnesota Department of Economic Security. Wages in the county are at the lowest weekly average within the seven-county Minneapolis-St. Paul Metro Area.

Buffalo 's location 40 miles from the Twin Cities offers the advantages of both urban and small town life. The major metropolitan area is easily accessible. But, Buffalo and surrounding Wright County have an appealing small town and rural feel.

“It's been a good move,” Mr. Paumen concludes. “Everything you need is right here.”

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Copyright © 2004-2007, Wright County Economic Development Partnership | 763.477.3086 | info@wrightpartnership.org