Power Equipment Co. building $3.5M facility as part of Greeley development

GREELEY — Power Equipment Co. plans to construct a $3.5 million, 32,590-square-foot industrial building in Greeley that will be used for sales, rental, service and repair of heavy industrial equipment.

The building will be constructed on about 6.9 acres at 2836 First Ave., part of a 22-acre site being developed by Windham Developments Inc. of Windsor.

The site formerly was home to Renewable Fiber Inc., a landscaping materials business.

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Wayne Frelund of Windham Developments said in addition to Power Equipment Co., his company is working with two other companies that plan to locate their businesses on the 22-acre site. “We aren’t ready to announce those companies, yet,” Frelund said.

Power Equipment Co. was founded in 1936 and has operated in Denver since 1958. It has operations in Grand Junction, Colorado Springs, Casper, Albuquerque and Salt Lake City. It is a dealer of Volvo construction equipment and also sells rock crushing and screening equipment. It services heavy equipment for the agricultural, construction, mining, municipal, and oil and gas industries. It currently has a location in Northern Colorado in Kelim, west of Greeley, south of U.S. Highway 34.

Willie Plessman, Power Equipment’s vice president of operations, said employees in Kelim will be moved to the new facility in Greeley when it is completed.

“A couple of years ago we thought Northern Colorado held a lot of promise for us, so we signed a three-year lease in Kelim to get our foot in the door as we began looking for land in the region,” he said. Power Equipment is under contract to buy the eight acres from Stromo LLC, headed by John Moser.

“Northern Colorado brings an abundance of stability because of its strong agriculture industry and steady growth in construction. … We view the oil-and-gas industry, with its ups and downs, as a plus for us,” Plessman said. “We’ve had a great corps of customers here for a long time, and now will be closer to support them.”

The facility in Greeley will employ about 20 full-time employees, which includes an outside sales staff that occasionally will use the office, Plessman said.

The project is in its final design phase and still needs to be approved. Frelund anticipates plans for the building will be approved by the city of Greeley soon, and he anticipates construction of the building will begin in August. Demolition of the former buildings on the site has been completed, and work on infrastructure is under way, Frelund said.