When a major employer considers moving to Salem, or when a local company thinks about expanding, the Strategic Economic Development Corp. is usually involved in the discussions.

The local economic development agency, better known as SEDCOR, has helped pitch the Mill Creek Corporate Center in South Salem to companies looking for expansion sites. The mostly state-owned property, which has about 488 acres available for construction is bounded by Highway 22, Cordon Road, Kuebler Boulevard and Aumsville Highway.

The Statesman Journal talked with Chad Freeman, SEDCOR's president, about Mill Creek Corporate Center and other efforts to bolster the economy.

Question: Salem is in the shadow of Portland. Is that a plus or a minus when you're trying to recruit a company?

Answer: There is strength in being close to a large market and close to an international airport. That's an opportunity for us. You can go to the Portland airport and be in Tokyo in 12 hours and Amsterdam in nine hours — those are both daily flights. For a company interested in having an international footprint, that's absolutely key.

Q: How do you market the Salem area to employers? What is the sales pitch?

A: The Oregon tax system can be beneficial to manufacturers. That is why we have seen companies, such as Intel and Nike, who have announced large expansions statewide. And in our region, some local employers — NORPAC, Garmin, GK Machine, to name a few — have done significant expansions. We are very competitive on utility costs. On labor rates, we are competitive statewide and competitive on the West Coast. Access to I-5 is important, but, frankly, access to national and international markets by being an hour away from the airport is huge.

Q: One of SEDCOR's goals is business retention and expansion. When you run into cases where a company is thinking about leaving the Salem area, or choosing not to expand here, what kind of concerns do you hear?

A: Companies are under on-going pressure to look at their business models and consider their next location or expansion. Do they need to locate closer to a primary, major manufacturers? Do they need to be closer to their customers? Those decisions, and the logistics around those decisions, drive many discussions. Sometimes, it comes down to nothing more than geography.

Q: When you're trying to bring a new companies to the area, what obstacles do you face?

A: Geography. The location of the Salem area can play for or against you. The other part comes down to the inventory of properties. In the last couple of years, coming out of the recession, many of the companies we saw were looking for existing buildings. Existing buildings often cost less. You can move into them immediately and start producing your goods or services. As a region, we have worked through that inventory of existing buildings and that's been an issue.

Q: What about the Mill Creek Corporate Center? Have we seen more interest in building at that site?

A: We have seen a lot more interest in that, just based on the shift of the market. There's not a ton of inventory (of buildings) in our region, the Portland metropolitan area, or even nationwide. There's been a tremendous amount of investment (in infrastructure) on that property. It's been certified as development ready by the state of Oregon through a third-party program. You can start developing an industrial project 45 days after you close on the property.

Just the availability of basic infrastructure — water, sewer and power — is a huge asset. The access to I-5 is a huge asset. The question I get asked a lot is why hasn't anything happened at Mill Creek recently. We are just coming out of one of the worst recessions. Companies have been struggling for survival rather than investing their money in new development. I think next year will be pivotal for investments.

Q: How do feel about 2015? Do you have any clients that are close to making a decision?

A: I am more excited and optimistic than I have been in a while. We have seen companies interested in expanding in Salem. Some have been involved in general manufacturing or advanced manufacturing. Food processing has been big. We also have seen some interest by companies involved in technology and energy.


More about SEDCOR

The Strategic Economic Development Corporation, better known as SEDCOR, is supported by public and private funds.

While the organization serves all communities in Marion, Polk and Yamhill counties, Salem is an important part of its focus. The city of Salem provides about a quarter of its $750,000 budget, SEDCOR officials said.

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