Category Archives: Local Business

Feds Clear Caterpillar’s Acquisition of Bucyrus

As expected, the U.S. Justice Department has cleared the Caterpillar-Bucyrus deal.

Here is the press release, and here is an item from WISN. From the release:

The DOJ action, in addition to the expiration of the Hart-Scott-Rodino Act waiting period, concludes the antitrust review process in the United States.  The clearance by the DOJ will allow the acquisition, valued at approximately $8.6 billion (including net debt), to proceed as soon as all other conditions to closing have been satisfied. The transaction is expected to close in mid-2011.  

What do you think of the deal and its potential impacts on South Milwaukee? Post your comments below!

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Bucyrus Unveils Its Renovated Visitor Center And Museum … And It’s Terrific

Bucyrus International continues to invest in its South Milwaukee campus.

The company held a grand opening celebration for its newly renovated visitor center today, and I was happy to attend and get a first-hand look at its new three-story museum — an upgrade from its one-story facility — as well as a new company store and theater, all part of its Heritage Building.

My review? In a word, outstanding.

From the interactive features aimed at young people on the first floor to the library — named for outgoing Bucyrus CEO Tim Sullivan — on the third floor, the museum does a great job of telling the story of Bucyrus … a story that is distinctly South Milwaukee.

And the best part? The museum will now have regular, daily hours:

  • Sundays and Mondays: Closed
  • Tuesdays, Wednesdays and Saturdays: 10 a.m. to 3 p.m.
  • Thursdays: 10 a.m. to 7 p.m.
  • Fridays: 7 a.m. to 3 p.m.

Also, Bucyrus is planning regular plant tours.

The renovations were done over the winter, and I am glad to see this project completed. I see it as a strong sign of Bucyrus’ continued commitment to South Milwaukee even with the looming acquisition by Caterpillar.

The next step is to see how we can leverage this major investment as a community. That potential is limitless.

In his remarks about the renovation Thursday, Sullivan specifically cited the company’s interest in making the facility a destination for visitors, and based on what I saw it most assuredly will be. He said the company is working with Visit Milwaukee to make this happen, working to attract everyone from local convention attendees to bus tours.

Think of it … a busload of tourists having just visited the Harley-Davidson Museum makes their next stop at Bucyrus, spending an hour or two at the museum before heading out to a downtown restaurant, the Downtown Market or the South Milwaukee Performing Arts Center for a show. Or maybe they make a sidetrip to the Seven Bridges at Grant Park.

Think of the potential economic impact that brings to our city.

Well, this is not just a fantasy. This may be reality sooner rather than later thanks to this major investment in a truly unique community attraction.

Thank you, Bucyrus. Now, let’s tell the world about this!

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South Milwaukee’s Wild Flour Bakery Closes

Update: I’ve been told that baking operations continue in the rear portion of the South Milwaukee store for the other Wild Flour locations, farmers’ markets and wholesale customers.

South Milwaukee’s Wild Flour Bakery retail store has closed.

According to the sign on the door at 1205 Milwaukee Ave., posted in the last few days:

Our South Milwaukee retail store has been closed. Our products are available at our three other retail stores and will be available at the South Milwaukee Farmers’ Market in June. We will be at South Shore and many area markets very soon. Please feel free to contact us on our Facebook site and let us know if you would like see this store re-opened. — Thank you! Wild Flour

While I’m glad Wild Flour is still planning to join us at the market this summer, this is another blow to downtown South Milwaukee. And it’s disappointing.

Simply put, we need to do more to ensure businesses like Wild Flour not only want to locate here, but also thrive once they’re in town. That is not the case now.

Yet there is some hope. I am optimistic that the study of our downtown being done by the University of Wisconsin-Milwaukee students will help light our way forward. But it will only be as good as our commitment as community leaders to bring these ideas to life.

You will be able to hear some of those ideas at our next City Council meeting on May 17. That meeting starts at 6:30 p.m. to allow some extra time for the presentation from the graduate students.

I hope to see you there … and to not seeing what happened with Wild Flour repeated.

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Bucyrus Earnings Rock

Bucyus International is doing quite well ahead of its acquistion by Caterpillar, with first-quarter earnings jumping 61 percent on strong demand, the Oak Creek-based company reported Friday.

Check out coverage in The Business Journal and Journal Sentinel, and here is the press release from the company.

Caterpillar’s deal to acquire Bucyrus is expected to close by mid-2011.

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Updating the Walmart Proposal

The Milwaukee Journal Sentinel has just posted a story updating Walmart’s plans for South Milwaukee.

Check it out here. From the story:

A Walmart development proposal hasn’t yet been filed with city officials. But Gatlin and Walmart are still working on their plans, says Danielle Devlin, South Milwaukee Community Development Authority executive director.

The project is complicated in part because the proposed site, 10 acres west of Chicago Ave., one block south of College Ave., will need an environmental cleanup, Devlin told me.

Gatlin and Walmart are conducting an environmental study of the site, which includes 3.5 acres owned by the city and 6.5 acres owned by Briohn Building Co. A development plan cannot be filed until the study is completed, with an environmental cleanup plan approved by the state Department of Natural Resources.

“We still expect things to move forward,” Devlin said.

In other words, the story is pretty much in line with what I’ve written about in the past few months. I’ll keep you posted as I learn more.

And here is an update from NOW on the Walmart proposed for Wauwatosa.

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Caterpillar Inching Toward a New Home?

Update: Well, that was fun while it lasted.

The Business Journal of Milwaukee — and good friend Rich Rovito — has an interesting blog item about the CEO of Caterpillar complaining about the business climate of Illinois.

From the posting:

Various media outlets, including the Pantagraph in Bloomington, Ill., stated that Caterpillar CEO Doug Oberhelman sent a letter to Illinois Gov. Pat Quinn informing him that at least four other states have approached the company about relocating.

“I want to stay here. But as the leader of this business, I have to do what’s right for Caterpillar when making decisions about where to invest,” Oberhelman wrote in the letter reportedly obtained by the Lee Enterprises’ Springfield, Ill., bureau.

Wisconsin has not been officially listed as one of the states courting Caterpillar. But it makes sense if it was. And it would make doubly good sense with the company’s acquisition of Oak Creek/South Milwaukee-based Bucyrus International.

Could this be a win for the South Shore? Too early to say.

But it’s nice to dream …

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Big Lakefront Development Plans for Oak Creek

The look of the lakefront in the South Shore could change drastically in coming years.

Wispark LLC is reportedly negotiating with Oak Creek to purchase 80 acres on South Fifth Avenue, not far from South Milwaukee’s southern border, for potentially mixed use development.

Click here to see the Journal Sentinel story. From it:

Development firm Wispark LLC is negotiating to buy 80 acres along Oak Creek’s lakefront, a property that would play a major role in that community’s effort to redevelop former industrial properties near Bender Park.

The property, at 9006 S. 5th Ave., was once home to the Peter Cooper Co. glue factory, and was later used by Oak Creek Storage and Handling Inc.

City officials have been working for years to redevelop the larger lakefront area, dubbed Lakeview Village.

Last year, the Common Council approved a tax incremental financing district that covers 335 acres, most of it undeveloped or underdeveloped, overlooking Lake Michigan near Bender Park, which is at the end of E. Ryan Road.

City planners have envisioned a mix of uses in the area, including housing and retail, along with public green space that provides access to Lake Michigan. The area would likely take 10 to 20 years to develop, according to a 2009 study conducted by the Urban Land Institute.

Of course, this is not the only major redevelopment project planned for Oak Creek in coming years. Wispark will also work to redevelop the former Delphi site at Howell and Drexel Avenues — a project that could become a “city center” of sorts for Oak Creek — and a business park proposed for Howell and Oakwood Road. Oak Creek Patch has more detail on all three projects.

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Advance Auto Parts Eyes Grant Park Plaza Site

It appears, thankfully, that the eyesore of the vacant outlot building at Grant Park Plaza won’t stay an eyesore for long.

Advance Auto Parts is interested in adding a location there, modifying the space previously held by Blockbuser and Verizon Wireless.

The item is on the Plan Commission agenda for Monday and Tuesday’s City Council agenda. I’ll keep you posted.

There are also Advance stores in Oak Creek and St. Francis.

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Walmart Backs out in the Falls

Update: Here is a Journal Sentinel story on this.

Walmart is no longer interested in building a new store in Menomonee Falls, according to The Business Journal.

Read the story here. From it:

On Jan. 4, the Menomonee Falls Plan Commission unanimously opposed a request by Gatlin to rezone a site at West Lisbon and Pilgrim roads for a 115,000-square-foot Walmart. Fitzgerald said he’s not sure if Gatlin plans to bring the rezoning request back later or if it’s giving up on the proposal, which faced heavy criticism from Menomonee Falls residents. Lisa Nelson, a regional spokeswoman for Wal-Mart Stores Inc., said the company is taking a fresh look at the site based on feedback from neighbors and the village.

I don’t really have much of an update on the Walmart proposed locally. We are still awaiting submittal of a formal site plan, and environmental studies of the site on North Chicago Avenue continue.

I will keep you posted.

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Report: Sullivan to Leave Bucyrus After Acquisition

Update: Here is a Journal Sentinel story, four days late.

Apparently, Tim Sullivan will not be sticking around Bucyrus International once the company is formally acquired by Catperillar Inc.

Check out the story from BizTimes.com here. From it:

In January, Bucyrus announced that it will be acquired by Peoria, Ill.-based Caterpillar Inc. When the acquisition was announced, there was speculation that Sullivan may stay with Caterpillar in some capacity.

But today Sullivan said that he and Craig Mackus, chief financial officer and secretary of the company, would not be staying with Bucyrus once its acquisition by Caterpillar is complete.

“We’re done at closing,” Sullivan said. “I think that’s for certain.”

This is concerning to me, given Sullivan’s close ties to the community and area charity efforts. Losing him in a public role with the company is a blow to South Milwaukee and the region.

I am anxious to see who the “new face of Bucyrus” will be once the deal is done, if there even is one. Indeed, how active will Bucyrus be in the city with new corporate ownership? That remains to be seen.

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Expanding on My Quotes in the Journal Sentinel’s Walmart Story

The Milwaukee Journal Sentinel has a story in Sunday’s edition updating the status — and mixed reception — of some of the new Walmarts proposed for the area. And the story quotes me.

You can read the piece by Tom Daykin here.

Here is the section on South Milwaukee …

In November, the Common Council approved plans to sell a city-owned lot to Gatlin as part of the Walmart site. The plan for the larger 10-acre site, west of Chicago Ave., one block south of College Ave., is expected to be filed soon.

Ald. Erik Brooks, whose district borders the Walmart site, says he’s heard from more Walmart supporters than opponents.

“I think they like the idea of a shopping source close by,” Brooks said. “We really don’t have big-box retail in South Milwaukee.”

Brooks also said the store would provide economic benefits, including about 200 jobs.

Ald. Mike Karbowski, whose district includes the site, said some residents are concerned about the effects of store traffic and water run-off.

But the benefits, he said, include property tax revenue generated by the development.

I think the story was well-done, and my quotes are accurate. Indeed, at community events, while on the campaign trail and simply talking to neighbors and friends, I have heard more positive than negative comments on the proposed Walmart so far.

The same holds true on my blog.

One reason I created this blog was to drive a community dialog on key issues (like the proposed Walmart) and give residents and others a forum to discuss them. The poll question (albeit admittedly unscientific and far from perfect) is one of those vehicles, and the strong response to the Walmart question the past couple of months has been as good a measuring stick as any for me on community reaction to the development.

Respondents have been overwhelmingly positive — more than 2-to-1 in favor of the store since the poll was published. And there is still time to vote. I will keep the poll question up at least a couple more weeks, so if you haven’t already weighed in, please do so.

Your feedback on this and every issue is important to me. The Journal Sentinel does not state this, but I have not made up my mind on the Walmart development, and I remain anxious to learn more about the plan, get some key questions answered and hear more of your thoughts. Let me know what you think. I promise to listen and take your perspective to heart as this moves ahead.

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Local Mining Jobs in Question … Again

The U.S. Export-Import Bank is back in the news again, and that has not meant good news for South Milwaukee-based Bucyrus recently.

At issue is the bank’s potential funding of a mining project in South Africa — and the potential impact that that decision could have on jobs at either Bucyrus or Milwaukee-based Joy Global (which would likely make the shovel needed for the project). Read more in this Journal Sentinel story. From it:

If the plant gets financed, either Bucyrus or Joy Global would likely win a contract to build a coal mining dragline – a huge machine that Bucyrus says would take 30 months to manufacture at a cost of roughly $120 million.

It is work that could be started this year, said Bucyrus CEO Tim Sullivan.

“We know the mine would need a dragline,” he said. “If the Export-Import Bank processes this decision the way we hope they will, it means jobs in Milwaukee one way or the other.”

Sound familiar?

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Celebrating a Refreshing Local Business

Haven’t heard of Joseph Ryan Clothing? You will.

It’s a “socially conscious clothier” started by brothers Nicholas and Chris Fare, South Milwaukee brothers who have both overcome muscular dystrophy en route to becoming entrepreneurs with a purpose — helping those with special needs.

Learn more on the brothers’ website and in this YouTube video. Also check out this story on South Milwaukee NOW, one that details the brothers’ efforts to land a Pepsi Refresh Project grant for their business.

From the business website:

The brothers have been personally involved in every phase of developing JR Clothing, from choosing the fine pima cotton fabric from a Peruvian supplier to designing the company’s logo. The name of the clothing is a combination of the brothers’ middle names, Nicholas Joseph and Christopher Ryan Fare.

The company donates 20% of every shirt sold. “This may seem like a lot especially for a new business but we are confident that we can establish ourselves as a successful brand in fashion and as a charitable organization by combining our values and our style.”

Sounds like a great concept, something South Milwaukee can be proud of. The Fares grew up in the city, went to South Milwaukee High School and still live here … so let’s get behind two of our own!

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A Quick Update on Walmart

There isn’t much new on the South Milwaukee Walmart front, but I’ve had a number of people ask recently, so here is what I know, based on an email from Community Development Director Danielle Devlin:

  • The executed purchase agreement between Gatlin Development and the city for the 3.5-acre, city-owned parcel on North Chicago Avenue has been completed and received. (You’ll recall that the entire development is around 10 acres and includes other privately owned parcels to the west of the city site.)
  • Our engineering department is working through the environmental and utility issues on the site with the developer’s consultants.
  • We expect Gatlin (Walmart) will formally submit plans for the site later this month.

I promise to keep you informed on the proposed Walmart if and when I know more — including information on any public meetings about the project. You will have a number of chances to be heard on this issue.

In the meantime, feel free to post your comments below and to vote in the poll found on the right-hand side of this page.

(Also: Gatlin and Walmart continues their efforts to build in a number of other communities in the area, to varying levels of hospitaility, including Menomonee Falls and the area near Timmerman Field.)

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A New Way to Promote South Milwaukee Businesses

I continue to believe that we do a poor job of telling the South Milwaukee story — letting others know about all of the things that make our city great and all of the opportunities available here.

That includes promoting our local businesses.

The South Milwaukee Chamber of Commerce is doing its part. It is taking part in a new “Milwaukee Shop Local”  campaign that offers online and in-store shopping opportunities, discounts, coupons and events associated with local businesses.

Learn more here. Advertisers range from Parkway Floral to the South Milwaukee Public Library.

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