Cooling equipment manufacturer plans $29.9M expansion in Botetourt

Munters, an air treatment and climate control solutions company with its global headquarters in Sweden, plans to invest $29.95 million on a 200,000-square-foot expansion of its HVAC manufacturing facility in Botetourt County, according to a Tuesday announcement by Gov. Glenn Youngkin.

The new manufacturing facility, which will be devoted to data center cooling solutions, will be built on 30 acres at the Botetourt Center at Greenfield, adjacent to Munters’ current operation in Daleville. The expansion is expected to create 270 jobs.

The cooling solutions manufactured by Munters is used by various industries, including data centers, which use it to keep expensive servers and other technological equipment from overheating.

“Munters has experienced strong growth in its data center business over the past five years, with new facilities in Daleville and [Cork, Ireland], as well as acquisitions in Italy and Thailand,” Stefan Aspman, president of data center technologies and group vice president of Munters AB, parent company of the Munters U.S. subsidiary, said in a statement.

“To meet the expanding U.S. market,” continued Aspman, “we are enlarging our Virginia facility, creating a Data Center Technologies production campus. Together with our Texas facility, this will provide nearly 700,000 square feet of space dedicated to innovative, energy-efficient data center cooling systems.”

When completed, the expansion will also allow Munters’ to expand production of its Geoclima high-efficiency chiller line for U.S. data centers. Munters acquired Geoclima, an Italian manufacturer of air- and water-cooled chillers, in October.

In 2007, Munters purchased DesChamps Technologies, a facility in Buena Vista that manufactured custom outside air conditioning equipment for commercial buildings. In 2021, Munters announced plans to build a larger facility at the Botetourt Center at Greenfield.

“Munters’ continued growth in the Roanoke region of Virginia is an economic bellwether,” John Hull, executive director of the Roanoke Regional Partnership, said in a statement. “An expansion less than three years after establishing its operations in the region is a signal that business is good and that Botetourt County and the Roanoke Region have supported a new corporate family member.”

Youngkin approved a $1 million grant from the Commonwealth’s Opportunity Fund to assist Botetourt County with the project. Additionally, Munters received a $500,000 Virginia Investment Performance grant, an incentive used to encourage continued capital investment by existing Virginia companies.

Munters is eligible for a grant from the Virginia Department of Transportation’s Economic Development Access program, which assists localities in providing adequate road access. It will also be assisted by the Virginia Jobs Investment Program, which provides services and funding to support employee recruitment and training activities.

The Virginia Economic Development Partnership worked with Botetourt County, Roanoke Regional Partnership and the Greater Roanoke Workforce Development Board on the project.