Take a look at the new Millworks at the Machine Shop (5 photos)

This week has been an eventful one in the land of local economic development.

Beginning Monday night with a grilling at city hall — which included a request for the salaries of employees making over $100,000 to be disclosed — the Sault Ste. Marie Economic Development Corporation (EDC) went on to host a provincial economic development conference, then capped off the week with the grand opening of its new business incubator.

The Millworks Centre for Entrepreneurship, which has been supported financially by all three local levels of government, was on display this morning during its grand opening at its newly-constructed space at The Machine Shop.

Andrew Ross, general manager for Enterprise Services at the EDC, said the centre will operate as a satellite office of the parent organization, which has its office in the basement of the Civic Centre.

Ross said the site at The Machine Shop will allow clients to work in a comfortable and collaborative environment.

“City Hall is great for a lot of things, entrepreneurship isn't always the first thing to come to mind,” said Ross.

The Millworks Centre will offer office space for clients — many of whom are startup companies seeking a stepping stone from being a home-based business to one leasing office space.

“We’re trying to be that middle step,” said Ross.

It also brings startups to the recently-redeveloped Canal District, on the edge of downtown.

“It helps bring people to the Machine Shop and helps the canal area develop,” he added.

Aside from offering office space, Ross said the centre also offers additional supports, not just 'cheap rent'..

“We’re not here to subsidize costs, we’re here to give you a chance to grow your business,” said Ross.

The primary purpose of the centre, said Ross, is to allow small and startup businesses to grow

Two programs offered at the centre are focused toward entrepreneurs age 29 or younger, but the centre also offers established out-of-town businesses a staging ground to begin a Sault expansion.

MBR Services, one of the initial clients for the centre, is an American company dipping its toes in the Canadian market. 

Owner Scott Bublitz says his Au Gres, Michigan-based industrial services business supports about 30 employees.

His main office is located about equal distance from the Sault as it is to Windsor, Ontario.

With many of his competitors in the Detroit area, Bublitz chose to expand in Sault Ste. Marie instead, in part because of its proximity to potential Ring of Fire projects, as well as other large mining and industrial projects which are part of his traditional market.

The space and support offered by the Millworks Centre has given MBR Services a place to hang their hat as they explore the Canadian market.

“If we can generate enough business up here, which I feel confident we will, we will buy industrial property in town and employ local people,” said Bublitz.

“Everything we generate in Canada we will leave in Canada,” he said.

An avid outdoorsman, Bublitz said he was also attracted to setting up shop in the Algoma area because of the proximity to the fishing he does every year near Chapleau.

“We absolutely love the area,” he said.

During his remarks immediately prior to the ribbon-cutting, March Bruni — who was appearing in his capacity as acting mayor — noted the former St. Mary’s Paper site once employed hundreds of people at a time.

“It has found new uses and that part of its second life will include being home of the Mill Works Centre,” said Bruni.

The redevelopment of The Machine Shop began under Riversedge Developments, but ownership of the site shifted to a group owned by Tony Porco of SIS Group.

Ross said the project was stalled prior to the ownership change, but resumed once Porco’s group took ownership.

“The new ownership taking over in January really spurred everything for us at that point,” said Ross.

Tom Dodds, CEO of the EDC, echoes Ross’s assessment of the new ownership group, stating they were ‘amazing’ in getting it rolling.  

“This will perhaps achieve the original vision, perhaps with a different cast of characters, but certainly with the same enthusiasm and vigour that really makes us excited,” said Dodds.

Earlier this week, the local EDC hosted the Economic Developers Council of Ontario’s Spring Symposium, a conference geared toward economic development officers from across the province.

The conference featured a cultural tour of Sault Ste Marie and highlighted many of the area’s tourism offerings and how they have contributed to the city from an economic development standpoint.

“There’s two kinds of businesses; those that grow the pie and those that split the pie. Tourism grows the pie because it brings dollars, in the form of tourists, into the region, [who] spend money and leave,” said Dodds.

The conference was an opportunity for the EDC to showcase its work, said Dodds, while raising the profile of Sault Ste. Marie.

It was also a chance to show off some notable wins.

The Agawa Canyon Tour Train has seen ridership increase in recent years, said Dodds, from about 20,000 travellers a year to about 30,000.

That extra 10,000 travellers has an effect across the other industries in the Sault.

“You get 10,000 people, that is 10,000 people in beds. 10,000 people eating at least three meals that day, hopefully they have gone to the mall or done something else,” said Dodds.

Investments made in the tour train by leveraging government funding — such as television screens in the passenger cars which highlight areas painted by the Group of Seven — have paid off, said Dodds.

“For a little bit of money you can get a greater return,” he said.