SBA Home, a prominent furniture manufacturer, has announced plans to establish its first North American production facility in Mocksville, North Carolina, creating 250 jobs. The company will invest over $70 million in a 500,000-square-foot facility designed to produce and distribute furniture for its U.S. customer base.
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North Carolina Governor Roy Cooper welcomed the decision, highlighting the state's reputation as 'the furniture capital of the world'. Cooper noted that North Carolina's workforce and business-friendly environment make it an attractive destination for global manufacturers like SBA Home. The company, a division of Lithuania's SBA Grupe UAB, operates four manufacturing sites and a distribution centre in Lithuania, employing over 3,000 people.
CEO of SBA Home, Jurgita Radzevičė, expressed optimism about the venture, stating: 'We are excited to launch our journey in the United States, starting in North Carolina – a state renowned for its dynamic business environment and exceptional opportunities for globally growing companies.' She emphasised the region's talent pool, logistics infrastructure, and the supportive business climate as key factors in the decision.
The facility is expected to open in October 2025, with production overseen initially by 30 Lithuanian professionals. It will employ cutting-edge manufacturing technology, enabling the production of approximately 380 furniture pieces per hour. Jobs created will span manufacturing, warehousing, administrative, and managerial roles, offering average annual salaries of $53,470, surpassing the county's average. The projected payroll impact for the region exceeds $13.3 million annually.
Economic incentives played a crucial role in securing the investment. The state's Job Development Investment Grant (JDIG) will reimburse SBA Home up to $1.42 million over 12 years, contingent on meeting job creation and investment benchmarks. This project is expected to boost North Carolina's economy by $435.8 million during the same period, with every dollar spent by the state generating $1.51 in revenue. Additionally, $473,375 from the JDIG agreement will be allocated to the Industrial Development Fund to assist rural communities with infrastructure improvements.
Davie County officials praised the collaboration between local and state entities that helped attract SBA Home. Terry Bralley, President of Davie County Economic Development Commission, noted Mocksville's skilled labour force, efficient supply chain, and favourable operating costs as decisive factors. Mayor Will Marklin and other local leaders also highlighted the region's appeal to global businesses and the potential long-term benefits of the investment.
SBA Home's main client, Ikea, is a driving force behind its expansion into the south-eastern United States, chosen for its proximity to key suppliers and shorter supply chains. Mocksville's Gildan Drive site, home to other industrial players, was ultimately selected over competing locations, including Cherokee County, South Carolina.
As construction progresses, Mocksville and Davie County anticipate a lasting partnership with SBA Home, reflecting the region's growing prominence as a hub for advanced manufacturing.
Source: www.ourdavie.com