Historic Investment Brings Major Manufacturing Growth to Muskegon County

NORTON SHORES, Mich. — Chobani has announced a massive expansion of its La Colombe Coffee plant in Norton Shores, representing the most expensive development project in Muskegon County's history. The multi-phase, $567 million investment will create nearly 340 new jobs while retaining the existing 312 employees, according to company officials.

"This project represents a defining moment for Muskegon County," said Trevor Friedeberg, President and CEO of Greater Muskegon Economic Development (GMED). "And it's one we've been building toward for years. There's a reason companies like La Colombe and Chobani are choosing to invest here. We offer the infrastructure, the water and wastewater capacity, and the skilled workforce needed to support large-scale manufacturing, along with an unparalleled quality of life. Just as important, we have the people in Norton Shores and across Muskegon County, who make projects like this possible."

The expansion will add an estimated 200,000 square feet of production space to the existing facility located at 6366 Norton Center Drive. This represents a substantial increase in manufacturing capabilities for the Philadelphia-based company, which makes canned coffee and ready-to-drink lattes for cafes and consumers across the nation.

State Funding Supports Critical Infrastructure Upgrades

To support this massive expansion, the state has approved $33 million in grants to offset the cost of infrastructure upgrades needed to handle the increased demands of the larger facility. The Michigan Strategic Fund Board unanimously approved these funds on Tuesday, March 24.

The funding includes:

• $5 million Michigan Business Development Program grant for La Colombe
• $28 million Strategic Site Readiness Program grant to offset water infrastructure replacement costs

The total cost of infrastructure upgrades is estimated at $64.5 million, covering three phases of sewer system improvements. Muskegon County's wastewater system, built in the 1970s, has become outdated and requires significant upgrades due to capacity limitations.

"This scalable approach ensures that infrastructure investment remains viable for decades," said Muskegon County Administrator Mark Eisenbarth.

The infrastructure project includes:

• Phase 1: Increasing local sewer capacity by upgrading existing sanitary sewer infrastructure
• Phase 2: Rehabilitation of an existing 42-inch concrete gravity sanitary sewer main from 1976
• Phase 3: Addressing capacity limitations in the existing force main connecting the pump station to the downstream sewer system

Job Creation and Economic Impact

The new positions will pay competitive wages, with unskilled positions averaging $29.50 per hour and professional roles averaging $69.75 per hour. This investment represents a significant boost to the local economy and job market in Muskegon County.

"The impact that this investment will have on the city of Norton Shores is monumental," said Norton Shores Mayor Gary Nelund. "The leadership at La Colombe/Chobani has shown through this entire process how much it cares for its employees, its products and the community. We look forward to a long and prosperous relationship as the company expands in Norton Shores."

La Colombe started in Philadelphia in 1994 and moved its canned coffee production to Norton Shores in 2016. The company has continued growing in Michigan over the past decade, with this latest expansion representing another major milestone.

Michigan Dairy Farmers See Significant Increase in Demand

One of the most significant impacts of this expansion will be on Michigan dairy farmers. The increased production means Chobani will be purchasing significantly more milk from Michigan farmers, increasing from 30 million pounds annually to approximately 615 million pounds annually.

"We had options to go into other states, but Michigan really stood out because it works. It's not a new bet. It's something we're building upon," said Nishant Roy, Chief Impact Officer at Chobani.

This dramatic increase in milk purchases will strengthen Michigan's dairy industry and support local agriculture. The expansion also supports various supply chain sectors including logistics and packaging operations.

Long-Term Vision for West Michigan

La Colombe was acquired by Chobani in December 2023 for $900 million. The combined company is partially owned by Keurig-Dr. Pepper, representing a major presence in the coffee manufacturing sector.

The three-phase expansion was first revealed in January when the Norton Shores Planning Commission approved the plan, which was initially valued at $479 million. The latest $567 million valuation reflects the full scope of the investment, including infrastructure upgrades.

"The impact of this investment will be felt well beyond Muskegon County," said Friedeberg. "This is the kind of project that doesn't just create good jobs – it strengthens entire industries."

The project is expected to enhance Michigan's agricultural operations while significantly increasing demand on waste treatment at the Muskegon County Resource Recovery Center. This investment demonstrates the company's commitment to West Michigan and its belief in the region's manufacturing capabilities.