mwm-consulting

Building Competitive Communities: The Role of State Support in Economic Development

Wed, 11 Mar 2026 19:10:58 GMT

By Elizabeth Carter

The Rising Importance of Site Readiness

As the 2026 session of the Kentucky General Assembly continues forward, economic development funding decisions will determine how well Kentucky communities can position themselves for future projects. Local leaders drive their own strategies but face a rising bar for market-ready sites, while neighboring states have benefited from years of state investment in site development programs. State support bridges the gap and enables Kentucky’s locally led efforts to match project demand, access federal funds, and compete for investment and jobs in a highly competitive market.

Economic development projects rarely start with incentives; they start with upfront work and, many times, capital risk. Long before a site visit, communities are investing in site control, due diligence, utilities, access, and basic infrastructure. Site selectors and corporate real estate teams expect much of this work to be complete before a community is considered. A site that lacks public control, environmental and geotechnical due diligence, adequate utility capacity, and road access is unlikely to advance, no matter how strong the local leadership or business climate might be. Projects move fast, and communities without alignment on readiness compete with sites that are positioned as market-ready.

The Financial Gap Facing Local Communities

For many Kentucky communities, especially smaller or more rural communities, these upfront costs sit well outside normal operating budgets. Local governments are managing aging infrastructure, public safety, and essential services, all while construction costs rise and revenue growth remains limited. Even when local leaders understand what it takes to be competitive and have a clear vision for their community, the gap between what they can fund on their own and what a project requires continues to widen. State support can close that gap, not just separating one Kentucky community from another but putting the Commonwealth on the short list alongside competitive states that have long invested in site readiness.

Kentucky's Expanding Development Toolkit

Over the last several years, the Commonwealth has responded by building a more structured toolkit to support locally led site and project development. The Kentucky Product Development Initiative (KPDI) is a central example. It provides competitive funding for site acquisition, infrastructure extensions, preliminary engineering, and building improvements that move properties toward market‑ready status. Thus far, KPDI has been authorized for up to $170 million in state funding, with the FY 2022 round alone supporting 96 projects and nearly $90 million in state awards that leveraged over $512 million in total site and building investment. To date, companies locating on KPDI‑supported sites have reported more than $5.7 billion in capital investment and over 7,400 jobs, showing how targeted state dollars can unlock much larger private commitments.

We’ve also seen the creation of the GRANT program, which has given communities another way to move projects forward. The program provides up to $200 million in state dollars and enables local governments and regional groups to compete for federal dollars by providing the required non‑federal match. In practical terms, that means a county or regional partnership can pursue a multimillion‑dollar federal grant that would otherwise be out of reach because the state is willing to share risk on the front end. A 2023 pilot showed an 8-to-1 ROI at the state level, meaning every state dollar helped bring back more than eight federal dollars for projects, many of them in rural and distressed areas. By last March, $93 million of GRANT funds had been committed, with total project costs of $437 million.

A Partnership Model for Competitive Communities

Kentucky is building a range of state-supported funding mechanisms that keep economic development locally driven while sharing risk and protecting operating budgets. Recent proposals have signaled an understanding that communities do not all start from the same fiscal position. Rural regions often face higher per‑unit costs, smaller tax bases, and fewer private partners, even when they have strong sites or corridor assets. Legislation under discussion would even formalize ties between the Department of Agriculture and the Cabinet for Economic Development for an ag-driven project, considering the state. These programs matter, and so does the collaboration they foster across agencies and communities.

What emerges from this mix is a strong partnership between local communities and the state. Communities provide the vision, strategy, and coordination needed to assemble land, prepare sites, and build support for long‑term investments, while the state helps address financial gaps that would otherwise limit good projects (and competitive sites) from moving forward. This support does not replace local investment, but instead strengthens it by giving communities the capacity to deliver projects at the scale, speed, and standard modern economic development demands. When this partnership works, communities can prepare sites to a consistent level of readiness, respond quickly when opportunities arise, and combine local, state, and federal resources so every dollar goes further. The result is a stronger pipeline of competitive sites, resilient local economies, and a Kentucky ready to win future investment and job growth.

Stocks are Expensive, and Increasingly Concentrated – Presenting an Opportunity for Commercial Real Estate

Wed, 21 Jan 2026 15:37:13 GMT

By Mac McLean

*Market conditions and data referenced in this article are current as of December 23rd, 2025.

Equity Markets Delivering Exceptional Returns

The S&P 500 has been on a tear over the last three years, posting gains of 26% in 2023, 25% in 2024, and another 14% as of early December 2025. All three years have strongly outpaced the market’s average annual return of 10.56% since 1957.

A significant portion of that growth has been driven by large bets on artificial intelligence as companies race to develop their own AI platforms and networks. The Magnificent Seven stocks (Alphabet, Amazon, Apple, Meta, Microsoft, and Nvidia) now account for nearly 35% of the S&P 500's total market capitalization. By comparison, those stocks accounted for only 21.5% of the overall market cap in 2022.

Recent Market Gains Are Driven by a Narrow Group of Companies

High concentration isn’t necessarily a bad thing. It can, however, magnify both opportunities and risks. Investing in the S&P 500 or other index funds has historically provided investors with an opportunity to diversify their portfolios by exposing them to the entire stock market. With the Magnificent Seven comprising such a large share of the total market capitalization, that diversification is increasingly diminished.

Valuations have followed suit. The S&P 500’s P/E ratio has remained historically high in recent years, reaching 26.0 in 2025 for the third consecutive year of expansion. That figure is 31% higher than the historical average of 19.8 since 1989. These strong valuations, driven by artificial intelligence, have sparked fears of a bubble as equities have become increasingly expensive. While high valuations do not guarantee a downturn, they do imply that the stock prices are overvalued compared to their actual earnings or that investors are speculating on future growth opportunities.

Discounts in Commercial Real Estate

Commercial real estate, by contrast, has been trending in the opposite direction. According to the WSJ, U.S. commercial real estate values are down an average of 17% from their 2022 peak. The office and apartment sectors, in particular, have seen sharp declines, falling 36% and 19%, respectively, from that same year.

Real estate stocks reflect this trend as well. According to Green Street, publicly traded REITs are trading at a strong discount relative to the PEs of other non-real estate equities.

This presents a rare buying opportunity for CRE investors, and institutional investors have taken notice. MSCI reported that, for the first time in three years, institutional investors acquired more properties than they sold, albeit at a lower volume than during 2018 – 2022. While transaction volumes remain below peak levels, this shift suggests that investors are beginning to re-enter the market to take advantage of discounted assets.

2026 Real Estate Outlooks and Opportunities

Multifamily: Nationally, construction levels have fallen to pre-pandemic levels after years of heavy construction. Q3 saw the pipeline fall 50% from its peak and 17% below pre-pandemic averages. Despite years of construction and deliveries, the housing shortage is still expected to grow nationally. In Kentucky alone, the shortage is expected to reach 287,000 units by 2029.

Industrial: Industrial onshoring and nearshoring are expected to continue as companies work to shorten supply chains and mitigate risks tied to geopolitical uncertainties and shifts in economic policies. The construction pipeline is thinning nationally, falling to 270M SF this year, down 63% from its peak in 2022. National rent growth should rebound after slowing down over the past several years due to the influx of new construction.

Retail: Nationally, limited retail construction has kept retail vacancies remarkably low, hovering around 4.5–5.0%. That trend is expected to continue into 2026. A barbell economy is forming in the retail sector, with mid-tier retailers facing mounting pressure from rising costs. Retailers offering either affordable products or luxury items to high-income consumers should continue to perform well.

Office: Although office is still the most challenging sector, opportunities are still available. Office conversions are becoming more common as excess supply is removed from the market. MWM is seeing this trend locally in Lexington, where our firm is based.

The Vine – 63,693 SF of office converted to residential condos and restaurants

Truist Building – 91,500 SF office building planned to be converted to government use

200 E Main Street – 135,402 SF (former government building, planning to sell to affordable housing developers)

Collectively, approximately 300,000 square feet of downtown office space is expected to come off the market over the next few years, tightening office supply in downtown Lexington. This should result in modest rent growth for office landlords as excess supply is removed.

MWM's Role

A window of opportunity is opening in commercial real estate, and success will be defined by execution and local market knowledge. As sidelined capital returns to the market, MWM anticipates increased investor activity focused on high-quality, well-located assets. Every member of the MWM team is a licensed commercial real estate professional through our affiliation with Block + Lot Real Estate, allowing us to provide fully integrated advisory and brokerage services under one roof.

In practice, this means partnering with buyers to evaluate opportunities, analyze market trends, and guide transactions from start to finish. MWM works with clients across Kentucky and the broader Southeast to identify and execute successful commercial real estate investments.If you are evaluating opportunities or thinking through your investment goals, we are always happy to connect and discuss how current market conditions may align with your real estate strategy.

What happened in 2025 and where are we going next?

Mon, 29 Dec 2025 20:09:56 GMT

By Lucas Witt

A Yearly Recap

A statistic that has been consistent for decades is that about half of US small businesses fail within 5 years, and only a third of them will still be operating after 10 years. At MWM Consulting, we just completed our 5th full year of operation, and I am here to confirm that not only are we surviving, but we are also thriving.

2025 was a year of recalibration for our firm. Like many companies across the country, we quickly pivoted in response to the new administration's policies. Some could say we were “DOGED” (referring to the Department of Government Efficiency, “DOGE”) as the federal government slashed funding nationwide.

From a business perspective, this helped us realize our clients and our work were too focused on federally funded projects. We were also entering our 5th year of operation. It was time to pivot.

We recentered to where our expertise is deepest:

Helping communities and organizations understand their competitive strengths and market realities
Developing real estate-anchored strategies that align with those insights
Executing real estate outcomes that bring economic development goals to life

In short, we are not “just” economic developers, nor are we “just” commercial real estate brokers. We are strategic advisors with real-world impact in both domains, and we bridge the gap between planning and execution.

Economic Development Impact. Meaningful, Multi-State, Multi-Sector

In 2025, MWM supported 22 economic development projects across 16 communities in:

Kentucky
Virginia
North Carolina
South Carolina

The work was far from one-dimensional. The projects we served included:

13 industrial / incentive-related initiatives
3 tourism-focused efforts
6 diverse economic development engagements

Each of these projects had a targeted work scope with a unique set of criteria. Ranging from assisting Infiltrator Water Technologies through their $40 million expansion in Winchester, KY, to advising what may be the most significant and most impactful regional project in Kentucky, including the Lexington-Fayette Urban County Government, Madison County Fiscal Court, Scott County Fiscal Court, and the City of Berea. These projects have real meaning and will deliver real results.

Commercial Real Estate: Strategic Advisory and Relentless Execution

While many firms treat economic development and real estate as separate levers, we treat them as complementary.

This year, through our affiliation with Block + Lot Real Estate , MWM members were part of approximately $70 million in commercial real estate transactions in 2025, including:

15 leases executed
13 buildings sold

These transactions range from leasing industrial facilities in tertiary markets across Kentucky to advising a corporate client on multi-family and land acquisitions in states like Virginia and Alabama to closing what may be the largest flex industrial real estate portfolio sale in Lexington, KY, in 2025. Our team is strategically positioned to advise clients through complex transactions while managing day-to-day needs.

2025 Market Overview

Our market perspective this year is more macro in nature, reflecting our growing multi-state presence.

Economic development and commercial real estate remained tightly linked in 2025, with capital becoming more selective even as investment activity picked up in the second half of the year. Speculative industrial development fell to its lowest level in roughly a decade, driven by sharp pullbacks in construction starts and project pipelines, which have redirected leasing activity into existing, already-delivered properties.

Industrial, office, and retail each told a different part of the story.

Industrial saw constrained new supply, even as leasing velocity remained healthy and net absorption improved later in the year. In my mid-year letter, I touched on record levels of “dry powder” and its eventual deployment. The “dry powder” that had been sitting on the sidelines began to move, with industrial sales volume up year-over-year and overall CRE transaction activity rebounding in the back half of 2025.

In the office sector, Class A is quietly mounting a comeback: prime, amenitized buildings in markets like Manhattan, Austin, Nashville, and similar growth cities posted positive net absorption and falling vacancy, while older Class B and C assets continue to struggle and are increasingly targeted for conversion or repositioning.

Retail, meanwhile, enjoyed one of its strongest years in recent memory, supported by solid consumer spending, tight supply, and growing institutional interest. Forecasts for the 2025 holiday season call for a record level of expenditure, with predictions showing consumers crossing the $1 trillion mark in holiday spending for the first time.

We have a clear and consistent take at MWM: commercial real estate is more than just assets to buy, sell, or lease; it is the physical platform for jobs, services, and daily life. Strong performance in these property types directly advances quality of life, which is why any honest discussion of economic development must also account for the real estate that makes growth tangible in communities.

Final Thoughts and Looking into 2026

As MWM enters its 6th year, one theme has been consistent: any success we have achieved is a direct result of the communities, partners, and clients who trust us to stand in the space between economic development and commercial real estate. I am proud that our growth has been largely organic, which is the best kind. To all our past and current clients, thank you. We would not be here without you.

Looking to 2026, I remain very optimistic. This is not just blind optimism either. It is rooted in data, and a few themes stand out. East Coast port activity has recently surpassed the West Coast, which had long been the leader. Like many other firms, we anticipate the southeastern market to continue gaining momentum in 2026 because of this transition.

Class A office is likely to extend its gradual recovery, as high-quality, well-located buildings capture a disproportionate share of leasing and investment activity. This does not replace the fact that older-generation office buildings will continue to struggle and will likely be targets for conversion, specifically in the larger metros.

As for MWM, we remain committed to integrating our economic development efforts with our commercial real estate advisory. These two areas of expertise allow us to serve our clients at a level that stands out from the rest. We are committed not only to maintaining our quality of work but also to elevating it in 2026.

Thank you to everyone who has trusted us thus far. For those of you who have not yet worked with us, we look forward to crossing paths in the new year.

Lucas Witt

Founding Partner

MWM Consulting

Finding Your Community Identity for Economic Development

ryfbr14@gmail.com (Ryder Brown) — Thu, 28 Aug 2025 14:39:44 GMT

By Elizabeth Carter

When communities set out to compete in economic development, the focus often starts with product:

What sites are available?
Are there move-in-ready buildings on the market?
How strong is the utility infrastructure?
What kind of access do we have to highways, interstates, ports, or rail?

These are foundational questions, but the answers rarely serve as differentiators from one community to the next. In a landscape where many locations offer similar sites and incentives, a strong community identity can be the key advantage.

Defining identity starts with asking the right questions:

Who are we?
What are we known for, or what do we want to be known for?
What industries already thrive here, and why?
What unique strengths does our workforce offer?

The Workforce is often where the answers take shape. It’s defined less by number and more by skillsets, adaptability, training pipelines, and career pathways . Are your schools and training centers aligned with target industries? Can your workforce support sectors like advanced manufacturing, ag tech, or clean energy? Clearly articulating who your workforce is and how they contribute to a company’s success can serve as a major differentiator and one that’s increasingly central to site selection decisions.

Answering these questions can also help guide what product you need to be competitive. Is your workforce and infrastructure better suited to large-scale manufacturing, or to smaller, specialized users? Do zoning and infrastructure support your target industries? Knowing who you are and what you are well suited for brings the focus to projects that align with your strengths rather than pursuing opportunities that may be a poor fit.

Going beyond land and workforce, you start thinking of your school systems and training pipeline, housing options, cultural assets, downtowns, quality of life, and sense of place. These elements may not lead your pitch, but they can differentiate you and ultimately sell decision-makers on your long-term viability.

Equally important is recognizing limitations. No community can be all things to all people, and understanding your challenges and gaps—whether that’s in infrastructure, housing, or workforce— builds credibility and informs where to invest and improve.

A well-defined community identity provides the foundation for intentional growth. It helps communities focus their efforts, communicate with purpose, and align around opportunities that are both realistic and high-impact. When leaders and stakeholders share a clear understanding of what makes their community competitive and where it wants to go, economic development becomes more strategic, coordinated, and effective.

MWM Mid-Year 2025 Letter

Thu, 10 Jul 2025 13:48:18 GMT

By Lucas Witt

Volatility, Patience, and Positioning for What's Next

We're halfway through 2025, and if there's one word that best describes the market right now, it's uncertain. At MWM, we've seen the effects of that uncertainty across the board: slower deal cycles, cautious capital, and communities navigating a more complex investment landscape than they've faced in years. Projects are still happening, but they're moving at a different pace, and the risk profile on all sides has shifted.

But we're not discouraged. In fact, we believe this kind of market often presents the greatest opportunity.

CRE Market Perspective - Q1 Transaction Volume vs. Prior Quarters

Across the country, commercial real estate activity remains well below the peaks of 2021-2022. U.S. deal volume in Q1 2025 was just under $70 billion, which is down about 19% year-over-year. This continues the slow decline that began in 2023 where deal volume dropped by nearly half compared to 2022.

Industrial Sector Insights

The industrial sector, which has been one of our primary focus areas, is showing signs of significant change. For the first time in a decade, supply has outpaced demand as outlined in a report by CoStar . Vacancy rates, which were recently below 4%, are now greater than 7% across the country. Location, as has always been the case in real estate, still matters though. For example, Central Kentucky’s industrial vacancies have historically hovered below the national average and that story remains unchanged with industrial vacancies holding steady at 5%. Furthermore, the size of the building is increasingly more important. The market was rushed with hundreds of millions of SF of speculative buildings built between 2021 – 2024. The everyday users of 50,000 SF and below are dominating the market currently.

Office Market Reset

The office market is still challenged, but even here, there are signs we may be nearing a reset. Prices are down ~12% from mid-2024, and distress-driven sales are beginning to establish new comps. That creates a unique opening for long-term buyers looking past today's headlines. The data also tells us that activity is back to pre-pandemic levels. Albeit the average size of each lease is smaller (roughly 3,000 - 4,000 SF/deal). This is not meant to be a bold prediction that the office market is "back" as it is forever changed. However, the activity in the office market is incredibly interesting considering the fact we saw more office sales in Q1 of 2025 than we have seen in several years. This includes end users along with investor type transactions.

Capital on the Sidelines

And perhaps most telling: there's more dry powder (cash on hand) sitting on the sidelines than ever before. Global private equity firms and institutional investors are holding an estimated $382 billion in undeployed capital earmarked for real estate. It's not a question of whether it will be deployed, but when and where.

What This Means for Economic Development

If you're a community or a corporate client reading this, our advice is this: the best time to prepare for growth is before the next wave hits. In slower markets, competition for projects softens, land pricing normalizes, and smart planning creates leverage that pays off down the road. Uncertain markets are more difficult for corporations to make decisions. However, this is the time for communities to be proactive and to follow industry driving data. We're encouraging communities to lean into regional collaboration and to take a serious look at site readiness. Not just for today's demand, but for what's coming.

At the same time, we're actively working with partners who want to acquire or reposition assets while pricing is still resetting. The best deals are usually not made in the hottest markets. They get made right before the rebound.

Final Thoughts

We don't know exactly what the second half of 2025 will bring, but we know this: capital doesn't stay idle for long.

At MWM, we are constantly attempting to bridge the gap between economic development and commercial real estate. We feel now is potentially the best opportunity we have ever had to achieve this goal. While some communities have been understandably cautious about private partnerships, the reality is both sides need each other now more than ever.

Communities need quality jobs, long-term tax revenue, and smart, sustainable growth. Developers and investors are sitting on capital, and they're looking for credible public partners. If both sides are willing to meet in the middle, there's a real chance to build something greater than either could on their own.

Lucas Witt

Co-founder

MWM Consulting

Why Business Retention and Expansion Matter

Wed, 02 Jul 2025 18:35:20 GMT

By Audrey Grace Hacker

A community's most valuable assets are its people and businesses that already call it home. However, in the race to attract the next big company or "hot" industry, existing businesses often get overlooked. While new business attraction is a critical component of economic development, business retention and expansion are at the foundation of a community's sustainable, long-term growth.

The Deep Roots of Local Business

Local companies are not just employers but are integral parts of the landscape of a community as they've built relationships with local leaders, invested in workforce development, and often partnered with technical schools, community colleges, and universities to create tailored programs to meet their workforce needs. These relationships create a more skilled workforce often with the ability and desire to live and work closer to home.

Capitalizing on Global Economic Shifts

Business retention and expansion must take priority as global economic forces and shifting trade policies reshape the economic and industrial landscape. Tariffs and geopolitical trends are shifting supply chains, causing many companies to regionalize supplier networks, leading to some networks locating primarily across the Americas. This shift could cause some companies to expand operations within the Americas and at current plants. Communities that prioritize business retention and expansion efforts will be in the best seat to capitalize on this shift.

The Power of Proactive Engagement

Economic developers and local leaders proactively engaging with existing businesses in their communities often uncover important insights, such as shifting supplier networks, workforce training gaps, workforce needs, or future expansion possibilities. These conversations allow communities to prepare to meet the needs of their current businesses. Whether it's upgrading infrastructure, securing land for expansion, guiding conversations with local education leaders, or applying for funding assistance to help meet these needs, the insights gained through conversations with existing businesses allow communities to be proactive instead of reactive.

Building Community Ambassadors and Strengthening the Tax Base

Additionally, existing businesses are often the best ambassadors for a community. Their success stories attract others and reinforce your community's reputation with new companies or families looking to locate in an area where businesses and individuals thrive. Retaining and expanding existing businesses strengthens a community's tax base through property, income, and insurance premium taxes, creating the opportunity for sustained high quality of life that benefits everyone.

Real Results Across the Region

The impact of prioritizing business retention and expansion is already evident across several states. For example, from January to December 2024, South Carolina announced $8.19 billion in total capital investment , of which $5.38 billion was accounted for from expansion projects by existing industries. North Carolina reported $16.1 billion of investment during the same period, with $7.7 billion tied to expansion efforts.

Beyond full state reports, major investment announcements across Kentucky and neighboring states further underscore the business retention and expansion trend including:

A $922 million expansion by Toyota Motor Manufacturing Kentucky at their Georgetown, Kentucky plant

A $70 million expansion by Pacific Manufacturing at their Fairfield, Ohio operation

A $4.5 billion investment by Eli Lilly and Company to expand their investments in Indiana with a new facility

These announcements and capital investment numbers are evidence of the critical role that existing businesses play in driving economic growth. As communities engage with current companies, they not only retain community anchors, but they also unlock opportunities for reinvestment.

Moving Forward Together

At MWM, we believe in today's evolving economic landscape, business retention and expansion are essential. The companies already invested in your community are your strongest partners in seizing new opportunities and continuing to build on what has already been established.

How Kentucky’s KIASI Grants Supercharge Industrial Growth

Thu, 29 May 2025 14:39:28 GMT

By Audrey Grace Hacker

As high-quality, rail-served industrial sites become increasingly scarce across the United States, rail companies and states are taking action to protect and expand the critical rail infrastructure. Kentucky is one such state that is taking action in investing through the Kentucky Industrial Access and Safety Improvement (“KIASI”) program.

How the KIASI Program Works

Funded with $7.5 million in both Fiscal Year 2025 and Fiscal Year 2026, through the Kentucky General Assembly House Bill 1, KIASI provides 50/50 matching grants for projects involving rail construction, railroad equipment, reconstruction, improvements, and rehabilitation. Through the program, the state can expand access to industrial rail-served sites, improve freight mobility, enhance rail safety, and support long-term economic growth.

Real-World Impact: Berea’s New Rail Spur

Recently, Pittsburgh Glass Works , an automotive glass manufacturer in Berea, KY, was awarded $1.4 million through KIASI to construct a rail spur line. The company collaborated with CSX to design and engineer the project, boosting rail capacity in Madison County and strengthening the region’s industrial infrastructure. Berea is home to a growing number of manufacturers who continue to invest in the local economy and workforce. Projects like the one at Pittsburgh Glass Works not only support logistics and supply chain efficiency, but they also help communities like Berea thrive and remain competitive for future investment.

MWM’s Role in Making It Happen

MWM specializes in helping companies and communities leverage state and federal funding opportunities, such as KIASI, to support infrastructure and drive economic growth. We enjoyed working alongside Berea and Pittsburgh Glass Works to connect them with this funding and make the project a reality. If you are considering infrastructure funding programs for your project, please don't hesitate to reach out.

Local Government and Real Estate Professionals: Can They Go Hand-in-Hand for Economic Growth?

Thu, 20 Mar 2025 15:06:17 GMT

By Elizabeth Carter

For years, commercial real estate and community-driven economic development have operated in silos, with limited interaction between local governments and real estate professionals. However, when approached strategically, the integration of real estate expertise can be a significant asset for a community seeking long-term economic success.

Leveraging Publicly Controlled Land

For counties, cities, and local economic development authorities, publicly controlled land is seen as a key asset for driving long-term economic growth. The goal is not just to land a sale but to attract “the right” business that will bring quality jobs, investment, and economic stability to the community. To achieve this, local governments and economic development authorities are often willing to offer flexible land costs or creative incentives to secure the right employer, prioritizing long-term vision over immediate financial gain. However, navigating the complexities of deal structuring, due diligence, and negotiating terms that align with broader economic goals may require expertise that local governments often do not have in-house.

Bridging the Expertise Gap

This is where real estate professionals can add value. Beyond facilitating transactions, an experienced industrial real estate professional provides the strategic guidance needed to structure deals, assess site feasibility, and effectively market publicly controlled land. Their expertise in purchase agreements, option agreements, and lease structures helps attract the right businesses to the right sites. Real estate professionals can also bridge the gap between economic developers/local governments and prospective clients, positioning local assets for high-value projects.

Collaboration as the Key to Success

While local governments and real estate professionals may seem to have different priorities—job creation vs. securing the best financial deal—the key to success lies in collaboration. Industrial land development controlled by a public entity is a team effort involving multiple stakeholders: local governments, real estate professionals, engineers, developers, site selectors, and more. While it’s not always necessary to involve a real estate professional, the right one can add significant value beyond just the transactional aspect by aligning deals with the community’s goals, transforming a good deal into a great economic outcome.

Transforming Edgewood: How Strategic Investment Turned Vacant Land into an Economic Driver

Thu, 27 Feb 2025 15:11:14 GMT

By Audrey Grace Hacker

In 2021, Kentucky Utilities (KU) launched a site identification initiative to address inventory shortages and invest in high-potential land for economic growth. The program aimed to strengthen local economies while generating long-term returns for both Kentucky and its communities. One key beneficiary was the Edgewood site in Versailles, Kentucky, which successfully leveraged this process for acquisition and development.

Site Identification and Analysis

To ensure the investment delivered optimal results, KU engaged Global Location Strategies (GLS) to conduct a rigorous site analysis across Kentucky. GLS evaluated multiple criteria, including transportation access, topography, and workforce trends, to identify the most promising locations. Following this assessment, GLS selected the Edgewood site as a prime candidate for industrial development, having made it through the rigorous process of evaluation that included more than 90 sites as one of the top 5 evaluated.

Funding and Acquisition

As a result, the City of Versailles received $250,000 from KU through the Opportunity Kentucky grant program to support the purchase of 118 acres of the 400-acre Edgewood Farm , which was already zoned for industrial use and had access to rail transportation.

Infrastructure Upgrades

Recognizing the importance of infrastructure in maximizing the site's potential, the City of Versailles partnered with MWM Consulting (MWM) to apply for Kentucky Product Development Initiative (KPDI) funding to extend water and wastewater services to the site. Their successful application secured $650,000 , making the property more attractive and “project-ready.”

Attracting a Major Investor

With affordable land, strong transportation access, and upgraded infrastructure , the Edgewood site quickly drew interest from potential users. It was ultimately acquired by TKC Distilling Company, LLC , which plans to build a state-of-the-art distillery. This investment is expected to generate significant tax revenue and contribute to Versailles’ long-term economic growth.

A Model for Future Projects

The transformation of Edgewood—from vacant farmland to a distillery destination—demonstrates the power of strategic investments and public-private collaboration . Programs like Opportunity Kentucky and KPDI help close infrastructure gaps, attract businesses, and drive economic development. The success of the Edgewood site serves as a model for future projects in Kentucky and beyond, showcasing how targeted funding and coordinated efforts can deliver lasting benefits for both businesses and communities.

Reflections on 2024 and Looking Ahead

Mon, 30 Dec 2024 20:20:55 GMT

By Lucas Witt

Introduction

As I reflect on 2024, I am filled with gratitude for our clients who trusted us to guide them through their economic development and commercial real estate decisions. This year, MWM Consulting (“MWM”) collaborated with more clients than ever before, thanks largely to referrals from our existing customers. We take pride in partnering with communities and corporate entities to achieve meaningful economic development outcomes. While we may be biased, we believe our projects will have a lasting, positive impact on the greater community.

MWM operates with a focused team of six members. Though small in size, our efficiency and output speak volumes. In 2024, we completed 19 projects serving 12 communities across Kentucky and Tennessee. These projects covered diverse scopes and scales, with Food & Beverage and Automotive emerging as our standout sectors for the year.

In the Food & Beverage sector, we facilitated $287.5 million in committed capital investment, including projects tied to Kentucky’s flagship bourbon industry. The Automotive sector, a cornerstone of this region’s economy, saw $328.5 million in new capital investment. Together, these sectors accounted for over $600 million in total investment in projects where MWM played a pivotal role.

While all projects receive the same level of dedication, I’m particularly proud of two regional initiatives that established business and industrial parks. Regionalism—collaboration across county and city lines—is essential for economic development. Businesses don’t see borders; they seek the best location for their ventures. Recognizing that workers often travel across counties, these projects underscore the importance of unified efforts among community leaders. More on this later.

In short, 2024 was a landmark year for MWM. We’re deeply thankful for our clients—past, present, and future—who have partnered with us. To highlight our achievements, we’ve included an infographic below showcasing the impact we’ve made this year. As we approach 2025, we remain optimistic about the opportunities ahead. Change creates opportunity, and we look forward to helping communities and corporations make impactful decisions. Cheers to 2025, and please enjoy the rest of this year-end review!

2024 Economic Review

2024 was an interesting year, to say the least. The stock market reached its peak after the election, while the housing market faced its slowest year in decades. So, what does this mean for economic development and announced projects? Let’s discuss the state of Kentucky, as it represented the bulk of our firm’s work.

Kentucky Highlights:

2024 marked the fourth-best year in state history for economic investment, with 170 private-sector announcements totaling over $6.9 billion in new investments and 9,425 new full-time jobs ( The Lane Report ).
Over the past four years, Kentucky has seen $35 billion in capital investment, much of it driven by electric battery and vehicle manufacturing. However, activity in this sector has slowed due to lagging consumer demand and grid limitations. Infrastructure modernization and renewable energy integration will be critical to reignite growth in this space.

National Insights:

Across the U.S., states like Kentucky experienced spillover from recent “mega-project” announcements ( Mega Project Announcements ). However, actual growth in the manufacturing industry has been closer to what some would describe as slow to moderate. This slower-than-usual pace could likely be attributed to the presidential election, which often puts many projects on hold, particularly those involving foreign direct investment (FDI). We anticipate these projects will pick back up in 2025, now that the election has concluded.

Looking Ahead to 2025

We expect 2025 to be even busier than 2024. The return of a Donald Trump presidency will undoubtedly keep the economic development industry active. His tariff policies, for better or worse, tend to drive industry movement—and activity is the lifeblood of this field.

When advising community clients, we emphasize focusing on opportunities over outcomes. Winning every project is unrealistic; instead, success lies in maximizing opportunities. Think of it like baseball: a .300 batting average is Hall of Fame-worthy. Similarly, winning even 1 or 2 projects out of 10 is a strong performance in economic development.

Regionalism will continue to be a focal point. Across the country, this approach is gaining traction as a pragmatic solution to longstanding challenges. In Kentucky, with its 120 counties and relatively small population, collaboration is the key to success. Competing for projects individually often disadvantages smaller communities. By pooling resources, communities can optimize land use, share costs, and strengthen their collective economic foundations. Additionally, regional projects address land use concerns often raised by development opponents. When each community builds its own industrial park, land consumption escalates quickly. In contrast, shared regional parks optimize land use while delivering a broader range of benefits. Finally, regional initiatives allow state and federal funds to stretch further. By impacting multiple counties, these projects achieve broader, more sustainable results while ensuring that every dollar works harder for the communities involved.

Conclusion

As we close 2024, I remain as optimistic as ever about MWM’s mission and impact. Our goal is to leave each community in a better position than when we started. Whether assisting a community or advising a corporation, we aim to create meaningful, lasting change.

Cheers to 2025, and thank you for being part of this journey. We look forward to collaborating with you in the year ahead to seize even greater opportunities together.

Lucas Witt

Co-founder

MWM Consulting

Berea's Mayde Road Rail Site Joins CSX Select Site Program

Mon, 22 Apr 2024 12:08:34 GMT

Berea, Kentucky, a valued client of MWM Consulting, has recently achieved a significant milestone in its economic development efforts. The Mayde Road Rail Site, managed by the Berea Industrial Development Authority, has been added to CSX's Select Site Program, recognizing the site's potential for industrial development and strategic location along CSX's extensive rail network.

The Power of the CSX Select Site Program

CSX, one of the nation's leading transportation and logistics companies, has announced the addition of fourteen properties to its Select Site program. These fourteen sites, spread across eight states, have earned either a Silver or Bronze rating. The Mayde Road Rail Site in Berea was selected as one of the Bronze-level sites, a testament to its readiness and suitability for industrial development.

The CSX Select Site Program is designed to connect expanding companies with highly desirable rail-served properties. The rigorous evaluation process and exclusive network of the program make the inclusion of the Mayde Road Rail Site a significant achievement for Berea. CSX Senior Director of Industrial Development Kellen Riley expressed excitement about the latest round of Select site designees, stating that the information collected for these properties will allow site consultants and manufacturers a quick and convenient way to identify premium rail-served industrial properties where they can locate new manufacturing facilities, generating new jobs and capital investment.

Unlocking Opportunities for Berea

The inclusion of the Mayde Road Rail Site in the CSX Select Site Program is a significant milestone for Berea, Kentucky. With its strategic location, robust infrastructure, and the support of CSX, the site is poised to attract industrial investment and drive economic growth in the region.

MWM Consulting was pleased to have led the process of guiding the City through this rigorous application process, contributing to the successful inclusion of the Mayde Road Rail Site in the CSX Select Site Program.

The Mayde Road Rail Site's strategic location and robust infrastructure make it a prime candidate for industrial development.

The Select Site listing, which includes Platinum, Gold, Silver, and Bronze sites, can be found here . Each site will appear in the list and will receive feedback about areas of potential improvement. CSX encourages each site to engage with the Class I railroad on how to continually improve. The fourteen newest Select Sites include:

THE SILVER LEVEL:

Montgomery Inland Logistics – Montgomery Alabama Chamber of Commerce, Montgomery, Alabama
Prattville South Industrial Park – City of Prattville, Prattville, Alabama
Androscoggin Mill – Maine Department of Economic Community Development, Jay, Maine
Carleton Advanced Manufacturing Site – City of Newport News Department of Development Authority, Newport News, Virginia
Devaney Site – Limestone County Economic Development Association, Tanner, Alabama

THE BRONZE LEVEL:

Bushy Park – Berkeley County Economic Development, Goose Creek, South Carolina
Pierce County Industrial Rail Park – Pierce County Industrial Development and Building Authority, Blackshear, Georgia
Creamer Industrial Park – Escambia County Industrial Development Authority, Brewton, Alabama
Atlantic Gateway Logistics Park – Anson County Economic Development, Lilesville, North Carolina
Mayde Road Rail Site – Berea Industrial Development Authority, Lexington, Kentucky
Florence County Industrial Park South – Florence County Economic Development Partnership, Scranton, South Carolina
Berkeley Rail Park – Berkeley County Economic Development, Russellville, South Carolina
Cumbo Yards – Berkeley County Development Authority, Martinsburg, West Virginia
Mid-Atlantic Advanced Manufacturing Center (MAMaC) – Greensville County Industrial Development Authority, Emporia, Virginia

For companies interested in learning more about the CSX Select Site Program and the Mayde Road Rail Site, visit csx.com/selectsites.

Preparing for Tomorrow, Today: Why Communities Need Strategic Reinvestment

Mon, 18 Mar 2024 13:49:09 GMT

Reinvestment Fuels Sustained Growth

As an economic development consultant, I've seen firsthand how reinvestment fuels sustained growth. It sparks innovation by transforming productive assets into profits. Consider the ethos of 'Shark Tank'—people praise entrepreneurs for reinvesting earnings into their ventures rather than taking large personal rewards. Why? Because seasoned investors know businesses need nurturing during their germination period. This nurturing happens through reinvestment.

This philosophy extends beyond the corporate sphere into community development. Site selection consultants look for evidence of forward-thinking investments, like the due diligence of the "Sharks." Communities that have invested in themselves stand out. Investments may include acquiring key land parcels, improving infrastructure, or enhancing quality of life through parks and recreation.

Understand Community Assets for Informed Reinvestment

Understanding a community's unique features through market data is crucial for informed reinvestment and strategic growth. Not all communities are created equal. While an direct access to an interstate may no longer be a "non-negotiable", a community's suitability for specific industries remains paramount. At MWM, our experience with industrial and manufacturing projects has shown that each community has its own readiness based on existing industries, workforce skills, educational facilities, infrastructure, and location. This critical information guides recommendations on property acquisition and target industries most likely to succeed. It highlights which sectors align with community assets and industry needs. Getting this puzzle right leads to mutual prosperity.

Use Resources Strategically With Long-Term Goals

Currently, funding for economic development is plentiful, but the art is not simply securing funds - it's deploying them with intent. For instance, Kentucky Cabinet for Economic Development 's $100 million Kentucky Product Development Initiative (KPDI) and Ohio’s $750 million All Ohio Future Fund require strategic action within a limited timeframe. There are also major funds available in Indiana that communities can leverage.

These funds represent an unprecedented opportunity, but they should be taken advantage of judiciously during their short window of availability. It’s mission-critical to apply with a robust ROI model, not “just because the funds are available.” What is the market demanding from a utility perspective within the target industry a community is focused on? How many acres does that industry, on average, need when acquiring a new site? Those data points should be clearly defined within funding applications.

Robust ROI modeling should guide resource allocation, not a rushed impulse to capitalize on availability. Market data on land requirements and utility needs of target industries should underpin funding applications and community investments. Avoiding impulsive investments in favor of data-driven, goal-aligned decisions is key to sustainable development.

Growth Through Partnerships

Programs like KPDI and the Tennessee Valley Authority 's InvestPrep demonstrate the power of strategic funding and partnerships to boost communities. With TVA overseeing 28 Kentucky counties, KPDI and InvestPrep synergize for maximum impact. In particular, InvestPrep offers up to 70% match on projects, encouraging more ambitious efforts. This expertise has led to over $15 million in endorsed funding and tangible outcomes like infrastructure, jobs, and economic revitalization.

The $500 million Indiana Economic Development Corporation 's READI initiative has also catalyzed transformative regional projects, underscoring the narrative of strategic community investment. Upgrading infrastructure and preparing sites makes communities more attractive to investors and signals readiness to meet their needs. Following the lead of these successful programs by seeking expert guidance and leveraging available resources for strategic goals is key for growth.

Cultivating Tomorrow’s Prosperity

Think of strategic community reinvestment like nurturing a garden - it requires patience, planning, and investing resources today to reap the benefits tomorrow. Programs like KPDI, InvestPrep, and READI exemplify this philosophy by catalyzing economic growth and resilience. When matched with a community's vision, strategic funding enhances infrastructure, jobs, and quality of life. Like dominos, reinvestment touches every facet of community life to promise a brighter future.

At MWM, our expertise in strategic consulting has helped numerous communities leverage funding programs to maximize growth and development. We aim to provide the insight and guidance communities need to make intelligent investment decisions. MWM has directly assisted on projects using initiatives like KPDI and InvestPrep by advising on millions in grant funding and telling our clients' stories effectively.

Communities at a crossroads must look to these success stories for inspiration to craft data-driven investment plans. The road to revitalization starts with bold reinvestment fueled by strategic decisions. This journey promises a legacy of growth, opportunity, and prosperity, extending beyond any single project.

The Kentucky Tourism Development Act: Fueling Major Growth Across Kentucky

Mon, 20 Nov 2023 13:30:55 GMT

The Kentucky Tourism Development Act (KTDA) is powering massive investments and creating a new boom across the state. This incentive offers state tax credits up to 25% of capital costs for approved tourism projects. Let's examine how KTDA is fueling growth and how your business can tap into these benefits.

How KTDA Incentivizes Tourism Projects

KTDA provides state tax credits up to 25% of capital investments in new or expanded attractions and facilities. Here's how it works:

Since 2007, over $4.5 billion in tourism projects have been approved under KTDA, driving growth across Kentucky. Hotels, distilleries, resorts and more qualify.

Major Investments Powered by KTDA

Recreational uses, convention centers, ski resorts and other concepts have leveraged KTDA credits to become reality.

Is the KTDA Right for Your KY Tourism Concept?

Bottom line: KTDA can make large-scale projects more achievable. It provides:

Maximized ROI on investment
Offset risks of major developments
Tax revenue and job creation
5-year window to use credits

The application process is complex, but the reward is immense for approved projects. For any major KY tourism investment, KTDA presents an opportunity not to be missed.

Let's Discuss Your Concept

If you have a major tourism project in mind for Kentucky, our team can help you tap into the KTDA incentive. Contact us today to explore how we can guide your application and leverage this program to turn your concept into reality.

KPDI: How a $100 Million Fund is Transforming Kentucky’s Economic Landscape

Fri, 06 Oct 2023 00:48:12 GMT

In a market where quality real estate is increasingly scarce, the Kentucky legislature is making a landmark investment that is set to change the game. Enter the Kentucky Product Development Initiative (KPDI) , a $100 million initiative that aims to transform the state’s economic landscape by making it more appealing for businesses looking for "shovel-ready" sites.

What is KPDI and Why Was it Created?

Kentucky’s unprecedented growth in recent years, led by major projects from the likes of Ford and SK Innovation, has resulted in a shortage of quality real estate. KPDI is designed to combat this by offering matching grants up to $2 million per county for transformative projects. Funds are for transformative projects like property acquisition, infrastructure upgrades, and site preparation. This incentivizes local investment to enhance Kentucky's product.

Local governments and economic organizations are the main beneficiaries.
Matching grants encourage local investment, enhancing Kentucky’s economic appeal.

How Does the KPDI Application Process Work?

If you think getting a piece of the $100 million pie is easy, think again. The application process is cutthroat, with each proposal being scrutinized based on a range of factors including site viability, job creation potential, and developmental prospects. Moreover, only projects that are shovel-ready and can kick off within two months are given priority.

The application process is rigorous and competitive.
It’s all about strategic opportunities rather than guaranteed handout.

MWM's Role in KPDI

Navigating the complexities of the KPDI application process is no small feat, and that’s where we at MWM Consulting come in. With our deep understanding of the program’s intricacies and a finger on the pulse of what the selection committee is looking for, we help communities make the strongest case for funding.

MWM Consulting aids in crafting compelling KPDI applications.
Our expertise is crucial for securing these transformative dollars.

Investing in Kentucky's Future

So, what does KPDI mean for the future of Kentucky? In simple terms, it’s laying the foundation for sustained economic growth and competitiveness. By replenishing the site inventory, Kentucky is positioning itself as a hotspot for businesses looking to expand or set up new operations.

KPDI is a life-changing investment for Kentucky.
It aims to make the state more attractive for businesses, thereby ensuring future growth.

Closing

KPDI isn’t just another economic development initiative. It’s a statement of intent from Kentucky, a pledge to invest in its own future. By focusing on both the state and its local communities, KPDI is setting a new standard for economic development initiatives nationwide.

Reach out to MWM Consulting to find out how you can maximize your chances of securing KPDI funding. Contact us today.

The Complexities of Kentucky’s Barrel Tax

Mon, 28 Aug 2023 00:55:44 GMT

Finding Solutions to Sustain Growth

The Complexity of Economic Growth and Public Revenue

Kentucky faces a challenging situation as the rapid growth of its signature bourbon industry conflicts with proposed caps on ad valorem taxes on aging whiskey barrels. This situation exemplifies the intricate task of harmonizing economic development with the needs for public revenue.

The Economic Impact of Bourbon in Kentucky

Undoubtedly, bourbon serves as a driving economic force for Kentucky, providing over 20,000 jobs and generating a whopping $9 billion in total economic output as of 2021. Moreover, barrel taxes have become an indispensable source of revenue for local communities, contributing $40 million to counties and towns just last year.

The Rising Costs of Barrel Taxes

However, with fast-growing inventory, the annual property taxes on each barrel have soared. The tax rates depend on the assessed value of the whiskey's age, resulting in higher taxes for older barrels. From 2013 to 2022, tax revenues surged by 175%, increasing from $14.4 million to $37 million.

The Need for Tax Relief

Forecasted to escalate to over $250 million within the next 15 years, the Kentucky Distillers' Association (KDA) has called for relief through incremental rate reductions, labeling the tax as "inhibitory" and an obstacle to both growth and competitive standing.

The Implications of House Bill 5

House Bill 5 aims to eliminate barrel taxes entirely by 2043. However, local leaders warn that this will lead to revenue shortfalls that must be addressed. Primarily, schools benefit from these revenues, followed by other vital services such as infrastructure, law enforcement, and emergency medical services.

Balancing Industry Growth with Community Needs

The issue sets the growth prospects of the bourbon industry against the financial needs of communities. Yet, through meticulous analysis and collaboration, win-win solutions are possible. Kentucky has the opportunity to promote development while still ensuring robust public revenue.

MWM Consulting’s Expertise

At MWM Consulting, we apply our extensive knowledge of incentives to broker effective compromises. Multiple avenues exist to compensate for revenue loss through other taxes and the economic activity that bourbon stimulates. Our ultimate goal is to sustain both Kentucky's hallmark industry and the communities that depend on its success.

A Multifaceted Approach for a Sustainable Future

Solving this dilemma demands empathy, ingenuity, and subtlety from all stakeholders. A thorough assessment of bourbon's overall economic impact must occur in tandem with an understanding of revenue needs. Through concerted efforts, the prosperity of Kentucky's communities and its iconic bourbon industry can flourish in harmony.

Finding the Win - Win

The path forward requires balancing industry growth and community funding through collaborative solutions. Reasonable barrel tax caps could be paired with offsetting revenues like complementary taxes or fees. Allocating some tax funds strategically towards high-need areas like education could also ease impacts.

Continued bourbon expansion will generate economic activity to bolster communities.

At MWM Consulting, we aim to broker compromises allowing Kentucky's signature industry and hometowns to mutually prosper. With experience structuring win-win incentives packages, we are committed to finding innovative ways for both bourbon and community to thrive. Through partnership, empathy and creativity, Kentucky can forge a solution where all sides succeed.

The Site Selection Process

Mon, 21 Aug 2023 20:40:05 GMT

Our Step-By-Step Approach to Corporate Site Selection

For companies looking to expand operations, selecting the optimal location is a complex but critical decision. At MWM Consulting, our expertise guides clients through every stage of the corporate site selection process. In this post, we’ll provide an insider’s view into the key phases we use to help corporations find ideal new facility locations.

Choosing the right location is one of the most pivotal decisions for expanding companies. It profoundly impacts costs, logistics, talent access, and more. With so much on the line, it's essential to get it right. That's why partnering with experienced advisors like MWM Consulting provides invaluable guidance. We deeply understand the intricacies of site selection through our proven methodology.

We eliminate guesswork from this high-stakes process by evaluating options based on the client's unique needs and providing data-driven insights. We aim to deliver confidence that companies make optimal growth decisions for their goals. Whether it's workforce analysis, modeling incentives, or on-site intel, we become trusted partners for end-to-end guidance. Contact MWM Consulting to have an expert advisor tailor the site selection journey for your expansion goals.

The AI Advantage: How Communities Can Strategically Embrace Artificial Intelligence

Thu, 10 Aug 2023 20:51:33 GMT

Strategic AI Insights for Economic Development

As leaders in economic development consulting, we're at the forefront of technological innovation. Artificial Intelligence (AI) isn't just a buzzword—it's a game-changer for community growth and economic development. This article dives deep into how AI is reshaping traditional community structures and offers pragmatic advice for harnessing its untapped potential. Let’s explore the transformative power of AI together.

The transformative power of AI is reshaping communities and labor markets, opening up new avenues for economic development. From preparing for shifts in the job landscape to leveraging technology for long-term growth, the opportunities are vast. Whether you're a community looking to attract high-tech industries or a corporation aiming to navigate the complexities of AI integration, MWM Consulting is your strategic partner. We bring expertise in site selection, workforce development, and technological innovation to help you capitalize on these opportunities. Let's collaborate to not just adapt to the AI revolution, but to lead it.

Hitachi Astemo's Major Expansion Validates Berea as a Manufacturing Hub.

ryfbr14@gmail.com (Ryder Brown) — Thu, 20 Jul 2023 16:02:26 GMT

Berea Solidifies Itself as Kentucky's Next-Gen Automotive Hub

Berea, Kentucky’s reputation as an emerging hub for advanced manufacturers, especially in the electric and hybrid vehicle sector, has once again been affirmed. Hitachi Astemo Americas recently announced a monumental $153 million investment to expand their current operations in Berea. This substantial capital infusion will allow Hitachi Astemo to increase production capacity and create 167 additional full-time jobs for the community.

Hitachi Astemo plans to significantly renovate their existing building which sits on 62 acres of land. This growth will position the company to meet accelerating demand as opportunities rapidly expand in the electric vehicle (EV) market.

“ This expansion brings new, quality jobs that will provide great opportunities for our residents. It shows that Berea offers an ideal location and workforce for advanced manufacturers ,” stated Mayor Bruce Fraley.

Hitachi Astemo has deep roots in Berea spanning decades. The company first established operations in the community back in the mid-1980s. Since then, Hitachi Astemo has steadily expanded their local footprint and employment. Today, the company employs over 2,100 residents across their Berea facility, cementing their role as a cornerstone employer in the region.

This latest major investment signals Hitachi Astemo's continued commitment to growing in Berea and the surrounding area. The 167 new jobs will provide an average hourly wage of $25.71 including benefits, delivering economic stability and prosperity for local families.

As Donna Angel, Business Development Director for Berea noted, "We have cultivated a strong partnership with Hitachi Astemo over the years, and we are fully committed to supporting their new growth in Berea. This expansion brings jobs, infuses capital, and positions our advanced manufacturing sector for the future."

Behind the scenes, MWM Consulting worked hand-in-hand with the Berea Economic Development Department to help make this expansion a reality. Our site selection expertise and incentive negotiation services were instrumental in positioning Berea as the ideal location for Hitachi Astemo’s growth vision. We take pride in leveraging our economic development experience to facilitate major investments like this that revitalize local communities.

mwm-consulting

Building Competitive Communities: The Role of State Support in Economic Development

The Rising Importance of Site Readiness

The Financial Gap Facing Local Communities

Kentucky's Expanding Development Toolkit

A Partnership Model for Competitive Communities

Stocks are Expensive, and Increasingly Concentrated – Presenting an Opportunity for Commercial Real Estate

Equity Markets Delivering Exceptional Returns

Recent Market Gains Are Driven by a Narrow Group of Companies

Discounts in Commercial Real Estate

2026 Real Estate Outlooks and Opportunities

MWM's Role

What happened in 2025 and where are we going next?

A Yearly Recap

Economic Development Impact. Meaningful, Multi-State, Multi-Sector

Commercial Real Estate: Strategic Advisory and Relentless Execution

2025 Market Overview

Final Thoughts and Looking into 2026

Finding Your Community Identity for Economic Development

MWM Mid-Year 2025 Letter

Volatility, Patience, and Positioning for What's Next

CRE Market Perspective - Q1 Transaction Volume vs. Prior Quarters

Industrial Sector Insights

Office Market Reset

Capital on the Sidelines

What This Means for Economic Development

Final Thoughts

Why Business Retention and Expansion Matter

The Deep Roots of Local Business

Capitalizing on Global Economic Shifts

The Power of Proactive Engagement

Building Community Ambassadors and Strengthening the Tax Base

Real Results Across the Region

Moving Forward Together

How Kentucky’s KIASI Grants Supercharge Industrial Growth

How the KIASI Program Works

Real-World Impact: Berea’s New Rail Spur

MWM’s Role in Making It Happen

Local Government and Real Estate Professionals: Can They Go Hand-in-Hand for Economic Growth?

Leveraging Publicly Controlled Land

Bridging the Expertise Gap

Collaboration as the Key to Success

Transforming Edgewood: How Strategic Investment Turned Vacant Land into an Economic Driver

Site Identification and Analysis

Funding and Acquisition

Infrastructure Upgrades

Attracting a Major Investor

A Model for Future Projects

Reflections on 2024 and Looking Ahead

Introduction

2024 Economic Review

Kentucky Highlights:

National Insights:

Looking Ahead to 2025

Conclusion

Berea's Mayde Road Rail Site Joins CSX Select Site Program

The Power of the CSX Select Site Program

Unlocking Opportunities for Berea

THE SILVER LEVEL:

THE BRONZE LEVEL:

Preparing for Tomorrow, Today: Why Communities Need Strategic Reinvestment

Reinvestment Fuels Sustained Growth

Understand Community Assets for Informed Reinvestment

Use Resources Strategically With Long-Term Goals

Growth Through Partnerships

Cultivating Tomorrow’s Prosperity

The Kentucky Tourism Development Act: Fueling Major Growth Across Kentucky

How KTDA Incentivizes Tourism Projects

Major Investments Powered by KTDA

Is the KTDA Right for Your KY Tourism Concept?

﻿

Let's Discuss Your Concept

KPDI: How a $100 Million Fund is Transforming Kentucky’s Economic Landscape

What is KPDI and Why Was it Created?

How Does the KPDI Application Process Work?

MWM's Role in KPDI

Investing in Kentucky's Future

Closing

The Complexities of Kentucky’s Barrel Tax

Finding Solutions to Sustain Growth