Frederick County Office of Economic Development (OED) is the catalyst for commercial growth. OED’s mission is to increase the overall economic health of Frederick County through attracting new businesses in key industries and helping existing businesses be more successful.
Frederick County 2020 ECONOMIC DEVELOPMENT ANNUAL REPORT
Helen Propheter & Jan Gardner Executive Director of Economic and Workforce Development and County Executive
“20/20 vision” took on new meaning during the year 2020. The past 12 months forced us all to focus on what matters most. We see and appreciate the importance of healthcare and the heroic Photo taken prior to Covid-19 frontline workers who risk their lives to keep our residents healthy. We see the vital role that teachers play in shaping our children, as many parents find themselves now teaching from home. We see the essential workers and understand more fully the large variety of jobs that are necessary to keep our community running each day. We see the innovative spirit of many of our manufacturers that quickly moved to produce important and in-demand items. Experiencing this economic challenge has helped us see how important our restaurants, local shops, small businesses and entrepreneurs are. We see the community spirit of so many who have, and continue to join together to help businesses in need. The year has restated the importance of all of us to see that everyone deserves equal opportunity in their jobs, in business and in life. At the Frederick County Office of Economic Development and the Office of the County Executive, we are amazed by our businesses and the strength, resiliency and community spirit that they have demonstrated and continue to demonstrate. We are grateful to serve this community of businesses that have proven they are resilient, flexible and innovative. Frederick County businesses have experienced the need to pivot their business plan in different ways in order to survive through these difficult times—from looking for new ways to keep and increase their customer base, keeping their employees safe and meeting the changing schedule needs by adjusting the shifts of their employees while they continue to contribute to Frederick’s economy. We have seen restaurants pivot to outdoor dining and curbside pickup, retailers offer live video shopping, and manufacturers making PPE, just as some examples. During the COVID-19 pandemic, our companies and organizations are still hard at work and a number of local compa-
nies are stepping up to show their support for the Frederick County business community. Despite experiencing their own financial impacts of the pandemic, many businesses quickly came together to support the needs of our community. In the earliest stages of this crisis, businesses within the local craft beverage industry worked in unison to switch their focus to create hand sanitizer and disinfectant cleaners. Many of these products were donated to support local and regional hospitals and first responders. Other businesses have been sharing their expertise in marketing, legal, information technology and financial matters. Firms contributed time and resources to our local businesses to provide extra help with the very real and sometimes daunting new challenges of safe and reliable virtual communication. Others helped with navigating the highly complex landscape of state and federal relief programs. So many other local businesses in the food service and retail sectors, despite strict restrictions on their operations, embraced the challenge and coordinated fundraising events that benefited the most vulnerable members of our community. And within the agriculture sector, our county farmers have continued to work to ensure we have a safe and healthy food supply chain. And finally, we see the enduring spirit of courage and determination in business owners who have opened new businesses in 2020. Perhaps more than we could have ever imagined, 2020 has shown us a vision of the tremendous responsibility our businesses hold. They have responded to an unprecedented challenge with an unfaltering commitment to their employees, their customers and this community. Finally, we would like to thank the organizations and businesses that have made this year’s Top 100 Legacy Businesses. In this special edition of Frederick Top 50 x2, we are recognizing Frederick County’s most resilient businesses that have been serving our community for 20 years or more. These companies prove that Frederick County is a great place to do business. The Frederick County Office of Economic Development is here to support existing and new businesses, to grow their markets, grow their brands and grow their opportunities. Our hope is that in 2021 we see our business community begin to recover and regain strength. TOP50x 2 1
2020 Success Stories The Kroger Co. High-Tech Customer Fulfillment Center eCommerce Facility The Kroger Co., the nation’s largest grocery retailer, in partnership with the Ocado Group, the world’s largest online grocery retailer, purchased land in Frederick to revitalize a vacant distribution facility and construct an industry-leading High-Tech Customer Fulfillment Center (CFC). The automated facility will be equipped with robots that move along the top of a grid system, selecting grocery-filled crates that are later sorted and assembled into orders. The CFC will allow Kroger to tackle the online market, providing automatic fulfillment and home delivery to customers throughout the East Coast. "Kroger is incredibly excited to construct one of our industry-leading Customer Fulfillment Centers in Frederick, MD, in relationship with Ocado, to bring fresh food to our customers faster than ever before," said Robert Clark, Kroger's Senior Vice President of Supply Chain, Manufacturing and Sourcing. "Through our strategic partnership, we are engineering a model for the region, leveraging advanced robotics technology and creative solutions to redefine the customer experience."
Frederick Health Village Hospice, Call Center, and IT Services Frederick Health, one of Frederick County’s major employers, purchased the 387,000 square foot former State Farm campus in a strategic purchase that ensures that Frederick Health can effectively and efficiently meet the growing needs of our community for years to come. Located 2 TOP50x 2
approximately 3 miles from the main 7th Street location, the new location will be named Frederick Health Village and will initially host Frederick Health Hospice, Frederick Health Call Center and components of the Information Technology services. According to Tom Kleinhanzl, CEO and President of Frederick Health, “Healthcare innovation and technology continue to evolve at a rapid pace and Frederick Health Village will be a key platform for us to launch future initiatives.” Frederick Health will continue developing the property over the next 10 years to make room for growth and to continue to better serve community demand.
Warehouse Cinemas Movie Theater Frederick has a new place to kick back, relax, and watch the latest movies. Located on the Golden Mile, this 10-screen premium movie theater features luxury recliners and a quick serve restaurant with a menu of creative comfort foods. The theater also features a full service bar with 28 beers on tap, including a number of locally-crafted brews from right here in Frederick. Movie-goers get the full experience from a state-of-the-art sound and projection system, down to the seat warmers built into the cozy recliners. “We chose this location because it had good bones. We looked for years and this opportunity was brought to us and we thought it would be a great location,” says Rich Daughtridge, President and CEO of HighRock Group.
The Bottling Plant Mixed Use Development Originally built in 1947, the Coca-Cola bottling plant in the City of Frederick had been vacant since 2008. GTM Architects revitalized the abandoned structure and transformed it into a vibrant mixed-use development, to include a restaurant on the first floor and office space on the second. This notable building features a new 4-story luxury apartment building at the rear of the site. This development pays tribute to the city’s local history and industrial roots as it integrates its past with its future. “Brick Lane was attracted to the property partly because of its location, which provides easy access to the neighborhoods along Md. 26 and to Downtown Frederick, as well as to the Rose Hill Manor property,” said Jeff Gross. “This was a passion project,
because we love historic revitalization projects. Everyone in Frederick has been fantastic to work with and very welcoming.”
Goodwill Industries & Veteran’s Service Project Nonprofit Administrative Offices, Retail, and Service Center Part of a larger expansion of Riverside Tech Park, this 72,680 square foot project involves a partnership between Goodwill and non-profit Platoon 22 that will see not only the addition of the Goodwill administrative offices and a store, but the addition of a veteran’s service center that will be a first of its kind in Frederick. The center will fill part of a 40,000 square foot building and will include job training and placement help, counseling, mental and physical health assistance, transportation services, financial education, and help with benefits and housing.
Modavar Pharmaceuticals Life Science Manufacturing Facility Modavar Pharmaceuticals chose to locate and build their stateof-the-art 22,000 square foot manufacturing facility on Md. 85 in
AROUND THE CORNER » OED, in partnership with the Maryland National Capital Region Economic Development Alliance (MNCREDA) has contracted Westat, a survey research firm, to conduct a three year survey of over 1,300 local businesses to assess the impact of COVID-19 and identify resources needed for recovery.
» After a successful 2019 partnering with Downtown Frederick Partnership and the City of Frederick DED, OED is bringing School of Food back next year. This year-long program teaches students the business side of working in the food & beverage industry.
Frederick County. Modavar Pharmaceuticals, a sister company of Cadila Pharmaceuticals, plans to produce life-saving products for a variety of health problems. They will be able to specifically serve pediatric and geriatric patients adopting the new concept of individualized treatments. According to Khurshaid Kazmi, Head of Engineering of Modavar Pharmaceuticals, “We chose Frederick County to be our new base for research and manufacturing of new and existing therapeutics because of the unmatched support we have received from the local government and also because of the infrastructure of the area. We have noticed a speedy growth in Frederick’s technology hubs and that will attract scientists to come and settle in Frederick.”
ECONOMIC DEVELOPMENT IN 2021
» After surveying the commercial real estate community, OED will be creating new services to assist in highlighting the companies and people that make up the commercial real estate development industry. These services will include a new webpage, a realtor’s roundtable, and a virtual continuation of the REALShare networking event.
» OED’s Diversity and Inclusion » OED will be adding a podcast room to its ROOT building for businesses and industry professionals to utilize for content marketing.
Pilot Program will host B2B networking events, webinars and more.
» The Agricultural Innovation Grant opens in January and July, 2021.
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D E V E L O P M E N T
HIGHLIGHTS IN 2020 Diversity and Inclusion Pilot Program— OED has partnered with Platinum PR to build a Diversity and Inclusion pilot program to promote economic diversity, equity, and inclusion in Frederick County. Major Initiatives
» Increased and sustained out reach efforts to underrepresented business owners.
» Broader education programs on inclusivity aimed at employers, employees, and
underrepresented peoples in the business community.
» Enhanced support for existing underrepresentedowned businesses and partnership projects with local organizations.
Kite Pharma, Inc. Wins 2020 MEDA Economic Development Project Award— Kite Pharma, is a division of Gilead Sciences in California, focusing on developing cancer treatments. Their Maryland manufacturing facility, under construction, is in Urbana. “Frederick County is noted for its bio-medical industries and research, and Kite Pharma is an exceptional addition to their roster,” says Pamela Ruff, MEDA executive director.
Frederick County 2020 Champions of Maryland Manufacturers— OED partnered with the Regional Manufacturing Institute to highlight those that have demonstrated leadership, innovation and resiliency. Chosen as this year’s Champions of MD Manufacturing: AstraZeneca, Canam Steel, Carter Controls, First Response Custom Sewing, Lonza, McClintock Distilling, Patriot Technologies, Phoenix Mecano, Rinker Materials, RoosterBio, STULZ Air Technology Systems and Wilcoxon Sensing Technologies. Rinker Materials won RMI’s People’s Choice Award for resiliency. 4 TOP50x 2
Downtown Frederick Partnership Small Business Resiliency Series— A partnership between Downtown Frederick Partnership, the County’s Office of Economic Development and the City of Frederick’s Department of Economic Development. The Small Business Resiliency Series provides Frederick County businesses with educational workshops, professional support, and access to a Small Business Lending Library hosted at the ROOT Building through OED.
20 Years of Business Appreciation Week— OED celebrated 20 years of BAW. During the week, over 100 of Frederick County’s legacy businesses, those that have been in business for 20 years or more, were visited. » 106 Legacy Businesses Visited » 18 Legacy Businesses 100+ Years » 30% of participating businesses plan to expand (adding employees, sf, or both) » 65% of participating businesses chose Frederick County for quality of life
Agricultural Innovation Grant Program— Frederick County is a leader in agriculture with more than 188,000 acres of farmland and over 1,300 farms creating an economic impact of $1.6 billion. OED has developed a grant program to improve the economic viability of the agricultural industry by encouraging Frederick County’s agricultural producers to expand or diversify their business operations by creating value added products.
Regional Economic Development Organizations Join Forces – OED is one of the founding partners of the Maryland National Capital Region Economic Development Alliance, joining forces with Anne Arundel, Charles, Howard, Prince George’s and Montgomery counties. MNCREDA signed a Joint Statement on Regional Collaboration committed to growing a stronger Maryland Capital Region.
2020 Selected Company Locations & Expansions:
#StillFrederickCo— This successful social media campaign highlighted Frederick County businesses that are Still Making, Still Innovating, Still Serving, Still Farming, and Still Hiring. » 80 Businesses Featured » 46,000+ People Reached
Best Places to Work— The Frederick County Best Places to Work Awards – hosted by Frederick County Office of Economic Development, Frederick County Workforce Services, The City of Frederick, and the Frederick County Chamber of Commerce– have recognized the following: » Small Employer Category (1-10 employees)- Datakwip » Small to Medium Employer Category (11-30 employees)Frederick Mutual Insurance » Medium to Large Medium Employer Category (31-50 employees)- VaLogic LLC » Large Employer Category (51-200 employees)- The Emmes Company
Frederick County Minority Business Executive Development Program— OED partnered with Hood College and Mount St. Mary’s University to offer a program that teaches management executives and business owners to enhance and acquire new tools and techniques to further skills in accounting and finance, marketing, promotion and advertising, leadership and management.
ADDITIONAL SQ. FOOTAGE
The Kroger Co. High-Tech Customer Fulfillment Center (L)
Frederick Health Village (E)
The Bottling Plant (L)
Rainforest Distribution (E)
Goodwill & Veteran’s Service Project (E)
Charles River Labs (E)
Fusion Car Wash (L)
Green Leaf Medical (E)
Thacker Caskets (L)
Carter Controls (E)
Urban Air Adventure Park (L)
Warehouse Cinemas (L)
Common Market (E)
Modavar Pharmaceuticals (L)
SignaGen Laboratories (L)
Attaboy Brewery (E)
(L): Locations, (E): Expansions
Additional Company Locations and Expansions » » » » » » » » » » » » » » » » » »
4 The Love of Sweets –Frederick Celebration Cellars Winery –Frederick Cucina Massi –Frederick Dairy Maid Dairy –Frederick Dunkin Donuts –Emmitsburg East Patrick Barbershop –Frederick Edgewater Federal Solutions –Ijamsville Essential System Soultions –Frederick Harmonia Home Decor & Gifts –Frederick HealthWell Foundation –Frederick Hometown Harvest Kitchen –Frederick Hidden Hills Farm & Vineyard –Frederick Ibiza Café –Frederick Idiom Brewing Co. –Frederick Jerk 'N Jive Caribbean Kitchen –Frederick Jug Bridge Brewery –Frederick Key Therapeutic Solutions –Thurmont Maxwell’s Burgers & Shakes –Frederick
» Mykey Technology –Frederick » NFM Lending –New Market » Opossum Pike Vet Clinic & Animal Hospital –Thurmont » Pediatric Movement Center –Frederick » Platinum PR/Octavo Designs –Frederick » Poochon Scientific –Frederick » Puerto Rico Distillery –Frederick » Sisters In Style –Frederick » Smoketown Brewing –Frederick » Steinhardt Brewing Company –Frederick » Thacher & Rye –Frederick » The Cutting Board –Frederick » The Original Popcorn House –Frederick » Transdermal Specialties –Frederick » Truth and Beauty Bar & Kitchen –Frederick » Tsunami Ramen –Frederick » Zoltan Design Company –Frederick
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$12.4B Frederick County’s Gross Domestic Product
Numbers T W O - T H O U S A N D
T W E N T Y
Job Growth 106k
Frederick County’s Unemployment Rate
Maryland 7.3%, National 7.9%
106,266 People Employed in Frederick County
Frederick County ended 2019 with 106,266 jobs, representing 5,867 additional jobs since 2015 and an overall increase of 5.8% over the past five years. Maryland’s five-year job growth rate was 3.8% during the same time frame. Frederick County added 2,178 jobs from 4Q-2018 to 4Q-2019, representing an increase of 2.1%. As of 4th quarter 2019, there were 6,594 businesses in Frederick County, representing 201 net new businesses since 2015.
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6,594 Businesses in Frederick County
Commerical and Industrial Permits Issued 2016 2017
Square Feet Leased
The amount of commercial space businesses leased in the last 12 months.
Frederick County 3rd quarter data
City of Frederick 3rd quarter data
Small Business Growth FISCAL YEAR
$5.65B Frederick County’s Annual Wages
Source: Small Business Development Center (SBDC) and Maryland Women’s Business Center
Value of Commercial and Industrial Construction Costs
Commercial Asking Rent per Square Foot
as of 3rd quarter 2020
Compared to $12.45 5 years ago.
7.6% Overall Commercial Vacancy Rate Includes Office, Industrial, Flex Costar 3rd Quarter
ACCOLADES People, Projects and Companies Honored
MOST VALUABLE PARTNER Frederick County Division of Planning and Permitting and Frederick County Division of Utilities and Solid Waste Management, Fast Track Permitting Ag Awards
FARM FAMILY OF THE YEAR Lambert Farms Inc. » The Lambert Family
AG ADVOCATE OF THE YEAR 2020 Frederick Real Estate Dealmakers (FRED) Awards DEAL OF THE YEAR The Kroger Co. High-Tech Customer Fulfillment Center » The Kroger Co. » JLL » The Whiting-Turner Contracting Company » Providence Engineering Corporation » Bohler » Luckett & Farley » Paragon Engineering Services » Ocado Solutions
AG BUSINESS OF THE YEAR Eddie Mercer Agri-Services, Inc.
YOUNG FARMER OF THE YEAR Taylor and Brandon Huffman ROOT Video Pitch Competition
JUDGES’ CHOICE & PEOPLE’S CHOICE CarrTech LLC Municipalities Impact Awards
MOST CREATIVE DEAL Warehouse Cinemas » HighRock Group » Coldwell Banker Commercial » VCRE
BUSINESS ATTRACTION » Town » Town » Town » Town
of Middletown of Mount Airy of New Market of Woodsboro
MODERN MASTERPIECE AWARD The Bottling Plant » Catoctin Overlook LLC » Brick Lane » Oculus Realty, LLC » GTM Architects » ReVite Construction » Morgan-Keller Construction
DEALMAKER OF THE YEAR Seamus Fitzgerald, Fitzgerald Realty Group Inc.
EMERGING DEALMAKER OF THE YEAR Chris Kline, Jr., Frederick Commercial Real Estate
LIFETIME ACHIEVEMENT AWARD Jim Fitzgerald, Fitzgerald Realty Group Inc.
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BUSINESS RETENTION AND EXPANSION » The City of Frederick » Town of Thurmont
INFRASTRUCTURE AND LARGE PROJECTS » The City of Brunswick » Town of Walkersville
SMALL BUSINESS AND ENTREPRENEURSHIP » Town of Emmitsburg » Town of Myersville
Frederick, MD #4 Best Business Climate (small) Business Facilities’ 2020 Metro and Global Rankings Reports has listed Frederick, MD as the 4th Best Business Climate
Stay Connected FREDERICK COUNTY EXECUTIVE Jan H. Gardner FREDERICK COUNTY COUNCIL M.C. Keegan-Ayer, Phil Dacey President Jerry Donald Jessica Fitzwater Michael Blue, Kai Hagen Vice President Steve McKay FREDERICK COUNTY OFFICE OF ECONOMIC DEVELOPMENT Helen Propheter Executive Director, Economic and Workforce Development Jodie Bollinger Director of Business Retention and Expansion Katie Stevens Associate Director of Agriculture Business Development Beth Woodring Director of Business Attraction and Marketing Solash Aviles-Montanez Senior Business Development Manager Troy Bolyard Senior Business Attraction Manager Sherman Coleman Business Development Specialist Cindy Harris Executive Assistant and Project Coordinator Sharon Hipkins Special Events Coordinator Amanda Lee Manager of Market Research and Data Analysis Britt Swartzlander Communications and Marketing Coordinator FREDERICK COUNTY WORKFORCE SERVICES Michelle Day Director of Frederick County Workforce Services Patty McDonald Business Services Manager MARYLAND WOMEN’S BUSINESS CENTER Karen Kalantzis - Business Counselor/Trainer SMALL BUSINESS DEVELOPMENT CENTER Grier Melick - Frederick County Consultant Diane McFarland - Training Manager, Maryland SBDC MAIN STREET MANAGERS Brunswick - Carmen Hilton Frederick - Kara Norman Middletown - Becky Axilbund New Market - Maria Tryfiates-Dalton and Pat Faux Thurmont - Vickie Grinder 118 N. Market St., Suite 300 Frederick, MD 21701 | 301.600.1058 www.discoverfrederickmd.com www.homegrownfrederick.com | www.rootfrederick.com
Connect with us at Discover Frederick, MD, Homegrown Frederick and ROOT Frederick.
Covid-19 REsources Business Grants– designed to provide financial assistance to Frederick County for-profit businesses and nonprofit organizations, full-time farmers and sole proprietors (with commercial space) that have experienced significant financial loss caused directly or indirectly by the COVID-19 public health emergency.
» Jumpstart Grants (small business, micro and farmer)$4,965,400 distributed
» Child Care Provider Grants– $2,049,025 distributed » Outdoor Dining Heater Grant- $261,900 distributed » Restaurant and Food Service Relief Grant- $2,582,644 distributed Workforce Services– Frederick County job seekers can now take advantage of these virtual services.
» Virtual Resume Review » Virtual Mock/Practice Interviews » Reopening Frederick County: The Local Landscape Career Pathway Exploration Tool
» Virtual Recruitment and Information Sessions » Online and Remote Based Computer Training in partnership with FCC
» Virtual Summer Jobs– Career Academy Program » Virtual One on One Job Search Assistance and Training » Career Advice Podcasts COVID-19 Resource Webpage– OED created a COVID-19 webpage in March offering the latest news regarding financial assistance, unemployment, webinars and more.
» OED saw a 43% increase in web traffic (YoY). 4-H & FFA Online Livestock Show– To promote agricutural education, OED worked with the Great Frederick Fair to create a video on the history and importance of the Youth
Parkside Pickup Support local restaurants as you enjoy our county parks, by having food delivered to you at one of the designated delivery locations! Parkside Pickup is sponsored by OED, Visit Frederick, Frederick County Parks and Recreation, and City of Frederick Parks and Recreation. Participating Locations:
» Baker Park
» Old National Pike Park
» Whittier Lake Park
» Pinecliff Park
» Hillstreet Park
» Rosehill Manor Park
» Ballenger Creek Park
» Utica District Park
» Urbana District Park
Livestock Show during the pandemic. The show featured live broadcasting and an online auction. Frederick County Financial Tool– To help businesses navigate the ins and outs of State and Federal funding programs, OED created this live document in partnership with Orases, TechFrederick and other local leaders. COVID-19 Joint Information Center (JIC)– OED is an allied agency of the committee formed by The Frederick County Government that ensures consistent coordinated messaging regarding the COVID-19 response. Temporary Outdoor Dining Permits– Working with businesses and the Frederick County Division of Planning and permitting, OED was able to assist businesses seeking to temporarily expand their seating options. The process was expedited and moved to an online format to meet the needs of the businesses. Economic Impact Survey– In March, OED immediately created an Economic Impact Survey to get a better understanding of the needs of the business community and followed-up by initiating virtual business retention meetings with the 300+ businesses that responded. TOP50x 2