THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Tuesday, July 25, 1995 TAG: 9507250377
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: BY MYLENE MANGALINDAN, STAFF WRITER
LENGTH: Short : 43 lines
BMG Metals Inc., a Richmond-based steel and aluminum distributor, will invest $1.2 million to open a warehouse in Chesapeake's Cavalier Business Center industrial park.
The facility will employ 20 to 25 people and will distribute steel, aluminum and stainless products. It will be the company's first branch warehouse.
``It picked a central location in the Hampton Roads-northeast North Carolina area to better serve its clients and tap into new markets,'' said Tara F. Saunders, a senior business development representative of the Chesapeake Department of Economic Development.
Owned and operated by brothers William, Thomas and Kingsbery Gay, BMG serves primarily Virginia-based welders, machine shops, contractors, steel fabricators and industrial plants. It also serves Maryland and North Carolina companies. It was founded in 1963.
The 65-employee firm considered sites in Norfolk, Virginia Beach, Suffolk and Portsmouth before settling on the Chesapeake location at 3325 Business Center Drive.
``We had existing clients there and made deliveries twice a week,'' said Thomas S. Gay, BMG's executive vice president. ``We knew the market.''
Accessibility to interstate highway networks played a role in BMG's choice.
``The whole Tidewater area is growing. We wanted to be part of that growth,'' Gay said.
Company revenues have grown 20 percent for the past two to three years, Gay said. He declined to disclose annual sales.
The privately held company broke ground Monday for the 44,000-square-foot facility. Construction will begin this week. ILLUSTRATION: Staff map
by CNB