Welspun announces Suffolk location

Published 9:39 pm Wednesday, October 11, 2017

A company that manufactures linens and towels will occupy 200,000 square feet of space at a new speculative building in Suffolk, city officials announced Wednesday.

Welspun USA Inc. will move into the space at the Virginia Regional Commerce Park’s Building B, recently completed by Panattoni Development off Route 460.

The company plans to invest more than $1 million in equipment and provide employment to 16 people, according to a city press release.


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Economic Development Director Kevin Hughes said the Suffolk facility will distribute the company’s products, which will be manufactured in India, where the Welspun Group is based. Welspun USA Inc., a subsidiary of the company, already has a facility in Ohio as well, Hughes said.

The company will ship its products through the Port of Virginia on their way to the Suffolk facility to be distributed to retail and hospitality customers.

The Economic Development Authority on Wednesday approved an Economic Development Investment Program grant for the company.

The grant will total $175,000 in two phases if the company meets requirements including square footage and investment in equipment and employment, Hughes said Wednesday.

The company will receive $150,000 in the first phase of 200,000 square feet, Hughes said. If the company expands into the rest of the building — an additional 83,000 square feet — it will receive an additional $25,000 in the second phase.

Textiles such as bath towels, rugs, decorative bedding and robes are manufactured by Welspun and can be found at retailers like Costco, Walmart, Macy’s, Bed Bath & Beyond and Kohl’s, according to the press release.

Hughes said the announcement is the culmination of work his office has been doing since May. Virginia competed against at least one other state to land the project, he said.

It also shows that Suffolk and Virginia have a strong economy that is open to investment, he added.

“I think it shows faith in the economy that the developer put up a building on spec,” Hughes said. “You take a leap of faith, and it’s great to know that leap paid off.”