STIHL Inc. investing more than $25 million to expand headquarters

Power-tool manufacturer STIHL Inc. said Tuesday it is investing more than $25 million to expand its headquarters in Virginia Beach.

The company is building a new, 80,000-square foot administration facility, which will combine the finance and controlling; sales and marketing; legal and customer and technical service teams under one roof, as well as add a new museum and brand experience center.

STIHL says the expansion from its existing 21,000-square-foot administration building will allow it to continue to grow. As part of the project, STIHL also will improve traffic flow and security at the main entrance gate.

The groundbreaking is set for early 2018, with a target move-in date in 2019. Employees working in the current administration building will temporarily move to STIHL owned office space at the International Industrial Center (formerly Lillian Vernon).

The company is receiving half a million dollars from the Virginia Beach Economic Development Authority for the project, based on its capital investment in the administration facility. The city says it has awarded $1.41 million in grants to STIHL over the last 20 years, which has resulted in $167,680,000 million in new capital investments.

STIHL, the U.S. headquarters of Germany-based STIHL Group, employs 1,900 people in Virginia Beach. The company’s U.S. headquarters have been in the city since 1974.