Caltech using state loans to expand in Northampton

Metal fabrication company Caltech Manufacturing Inc. was recently approved for two new low-interest loans through the Pennsylvania Industrial Development Authority (PIDA).

Gov. Josh Shapiro’s administration took the measure in hopes of supporting local business growth in Bucks County.

The loans total $1.2 million to renovate and expand a 21,042-square-foot manufacturing facility located at 105-115 Industrial Drive, Northampton. The total cost of the project is just over $3 million. The first of the loans approved is a 15-year $800,000-loan at a 3.5 percent reset interest rate for Caltech to acquire and renovate the facility.

The second is a 10-year $400,000 Machinery & Equipment loan at a 4.5 percent fixed interest rate to purchase machinery and equipment. As per the PIDA press release, Caltech will utilize the machinery and equipment loan to purchase a laser tube cutting machine, transformer, screw compressor, tank, refrigerated dryer, in-line filter, and press brake.

The company will also retain 25 jobs and create six new full-time positions within three years. The Industrial Drive facility was previously split between two metal fabrication companies: Caltech and T. Walton Metal Fabrication and Welding. Caltech will now take over the entire facility as part of the expansion and renovation project.

The company is an integrated manufacturing facility with two decades in business, specializing in metal fabrication and assemblies. Its specialties include precision manufacturing, milling, turning, welding, assembly, prototypes, engineering, tube laser cutting, tube processing, sheet metal, fiber laser, 5-axis machining, Swiss machining, and multi-axis turning among others.

Via LinkedIn, “Caltech is a Woman-Owned business created within the framework of family, hard work, quality, and continuous improvement. Every aspect of our business is geared to source and produce high-quality products to ensure that we meet the confidence that is placed in us.” The state loans for Caltech were part of a larger effort by the Shapiro administration to bolster business growth in the area.

Department of Community and Economic Development (DCED) Acting Secretary Rick Siger added in the press release, “Gov. Shapiro and his administration are working hard to create an economy for every Pennsylvanian, and programs like PIDA are helping to make this a reality. The projects funded today will benefit workers, businesses, and surrounding communities, which in turn helps to reignite our economy.”

Pennsylvania businesses that commit to creating and retaining full-time jobs or who develop industrial parks and multi-tenant facilities are eligible for low-interest PIDA loans and lines of credit. The loans can be used for a wide array of costs including construction and renovation expenses, building acquisitions, equipment and machinery purchases, working capital, receivable lines of credit, and several others.

Pennsylvania-based businesses specializing in agriculture, manufacturing, industrial, research and development, hospitality, defense conversion, recycling, computer-related services, construction, child daycare, mining, retail service enterprises, and developers are all eligible to apply for PIDA loans.

Caltech Manufacturing is simply the latest recipient of these low-interest state loans that have the potential to make a big impact for the company and the community.

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