By Karen Hall

Editor

A company from Michigan that makes comfortable alternative furniture hopes to move into the Heil Quaker building and be employing 25 people by early September.

Lewisburg Director of Economic Development Greg Lowe introduced Will Wilson of Comfort Research to members of the Industrial Development Board Monday.

Comfort Research was started in Grand Rapids, Mich. by Hope College roommates Matt Jung and Chip George, who refurbished a beanbag by filling it with chunks of foam from a worn-out couch. "Some ripping and a few jagged stitches later, the Fuf chair was born. Friends loved it, and before long Fufs became the rage at colleges throughout Michigan," according to the company's website. Jung and George were featured in Business Week in 2002 and named Entrepreneurs of the Year by Ernst & Young in 2004.

"The company is looking to expand and needs a southeastern location for logistics," Lowe said. "I pitched Lewisburg to them."

Comfort Research is ready to sign a lease with local businessmen Tony Beyer and John Chunn for square footage in the Heil Quaker building, Lowe continued, and hope to be making beanbags by early September. Comfort Research will employ 25 people to start with, rising to 50 at the end of five years. They will be asking for a PILOT (payment in lieu of taxes) agreement for the $1.2 million they plan to spend on equipment.

IDB member Dave Kennedy asked if the beanbags were similar to those made by Ace Bayou, and Wilson replied that while beanbags are essentially the same, Comfort Research's beanbags are quite different from Ace Bayou's. They are sold at Walmart, and many are sold online.

Turning to industries which are interested in coming to Lewisburg, Lowe reported Project Solid Gray is "still with us." They originally came looking at the spec building in the I-65 Commerce Park, which has since been sold.

"We were one of 100 at first," Lowe said, but now the company is trying to choose between Lewisburg and a community in another state which is offering a cheap, or free, building that is ready to move into.

"It comes down to our location versus their building," Lowe said. "If the city would build to suit, we have a good shot at winning."

He explained the kind of building this company wants would cost $4 to $5 million to build. They want a municipality to build it and lease it back to them because of tax incentives.

"There's more benefit if it's publicly owned and leased back to them," Lowe said.

IDB Chairman Eddie Wiles wondered if agreeing to this build-and-lease proposal would be setting a dangerous precedent.

Lowe said he would get the company's specifications for the building they want and get some local bids, but also said he would report there appeared to be no city or IDB support for the city to construct a building.

Another industry that was mentioned some time ago has reappeared, Lowe said.

"Project Jessica is back on the radar," he announced. It has fairly large job-creation numbers, and is related to an industry already located here. The state is involved in this project, and the company CEO recently had a successful meeting with Gov. Haslam.

Project Scrub is also still a possibility, Lowe said.

"We may have found a location here that works for them," he noted.

There is also a commercial venture interested in coming to Lewisburg, said Lowe.

"It's the No. 1 request of citizens as something they want and don't have here," he said.

Lowe is waiting for a proposal from the developer and franchisee. Judging by the way this venture has operated in other communities, he said, they will be asking for Tax Increment Financing (TIF).

Nashville attorney Thomas Trent Jr. was here to present a TIF information session on April 30.

"He's one of the three lawyers in the state you want to work on a TIF," Lowe reported. "You want him on your side."

"We have very little experience of this," said Wiles. "I don't understand enough to vote on it now. We need to be very, very careful, and look at all the pros and cons. TIFs started in California, and they don't do them there any more."

"There's still a lot I need to know about," agreed Councilman Ronald McRady.

"Trent has been involved with this franchisee in communities close to us," said Lowe. "When the proposal comes back we will look at it and decide how to proceed."

Wiles reminded IDB members not to try and pinpoint what commercial venture or industries Lowe had been talking about.

"We could jeopardize a prospect if the name gets out," Wiles said. "A lot of companies insist on secrecy."

"I don't like it," said Lowe. "It would be easier if you could talk about it openly, but we want to stay on those lists."

Wiles concluded the meeting by thanking Mayor Barbara Woods and council members for what they've done to support industry.

"Thank you," Woods said, "We appreciate all you do. The public is not always aware of what you all do for the city."