Groundwork laid for $30M growth at Ozark factory

Robbie Freels: Plant will provide high-quality materials as well as jobs.

Gov. Mike Kehoe: New plant will strengthen the region's growing economy.

Kristen Haseltine: Supporting the construction industry creates a ripple effect in the local economy.

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Jefferson City-based Capital Holding Group is investing in Ozark to the tune of nearly $30 million.

The roughly $29.5 million investment will construct a new asphalt plant on property Capital Holding Group owns adjacent to its 1506 Farmer Branch Road quarry in Ozark.

The plant will create 29 jobs, according to a news release from the Missouri Department of Economic Development.

The announcement notes that the expansion will allow the adjacent rock quarry to grow and modernize, enhancing its efficiency while allowing the company to serve a larger market.

Capital Holding Group had its genesis in the 1940s in a Cole County concrete, asphalt and ready-mix operation that came to be known as Farmer Cos., a multistate construction, logistics and real estate firm. Capital Holding Group was founded in 2016 out of Farmer Cos. The company’s website notes it has built its business through acquisitions and investments in new plants and quarries.

Capital Holding Group Director of Operations Robbie Freels said in the release that the company is committed to investing in Ozark and the surrounding communities.

“This new state-of-the-art plant will enable us to support the rapidly growing community with high-quality materials and provide excellent new career opportunities,” he said.

In early 2021, Capital Holding Group purchased the assets of Leo Journagan Construction Co. Inc., and among these were seven local quarries, including the Ozark property, according to past Springfield Business Journal reporting. The company’s headquarters and maintenance facility, both in Springfield, rounded out the acquisition.

In an interview with SBJ after the announcement, Freels said the new asphalt hot-mix plant will replace an older one that was included in the purchase of the Journagan assets. Since entering the market, Freels said, Capital Holding Group has built construction teams in the area.

“We continue to try to invest in our people and our teams in that area,” he said.

He added that the asphalt plant – Phase 1 of local expansion – should be in place by the end of the year, and a new crushing facility, which is Phase 2, is in the works for 2026.

“Those two facilities will supply a lot of our internal companies downstream, and a lot of our job growth comes from increased capacities to feed our downstream construction crews and our outside customers,” he said.

Kristen Haseltine, president and CEO of economic development organization Show Me Christian County, said the project is expected to drive job growth and increase local capacity not just within Christian County, but across the region, with construction companies benefiting from improved access to asphalt and materials.

“Construction, retail, education and health care are currently among the largest industries in Christian County,” Haseltine said in an email. “Supporting growth in construction has a ripple effect, creating new opportunities across multiple sectors in our region.”

The asphalt industry is not new to Springfield and the surrounding area; among them, the website for Emery Sapp & Sons Inc. says that company operates 13 hot-mix asphalt plants in Missouri, Arkansas and Kansas, including one in Springfield. APAC-Central’s website advertises asphalt facilities in Oklahoma, Arkansas and Missouri, including an asphalt pit in Willard. Table Rock Asphalt Construction Co. operates a hot mix asphalt plant in Branson.

“The market is competitive, for sure, and it’s a really tough market,” Freels said. “We believe with our quality and our customer service that we offer that we’re the supplier of choice down there.”

He added that it’s hard to quantify capacity growth at an asphalt plant, but he is optimistic.

“I believe we would have no trouble doubling our output,” he said.

Capital Holding Group has nine asphalt plants throughout the state of Missouri, with the nearest ones being in Hollister and Lake of the Ozarks.

Asked how the development came about, Haseltine said she met a member of the Capital team at an Ozark Chamber of Commerce meeting and struck up a conversation about the business. The initial chat led to a follow-up meeting with Capital Group officials sharing plans to expand and build an asphalt plant, she said.

“From there, we held several meetings with their team to explore available resources, including programs through the Department of Economic Development, local zoning considerations, access points for the development and potential state grant opportunities,” she said.

She described the project as a collaborative effort among Capital, Show Me Christian County, the city of Ozark, Christian County government and the DED.

“Working together throughout the project was a great experience,” she said.

Past SBJ reporting and opinion pieces suggest the Springfield region is becoming what Dan Watson, chair of the Springfield Tech Council, referred to as a destination of choice for tech talent.

By contrast, asphalt is an ancient technology, used in Mesopotamia, Phoenicia, Egypt, Greece and Rome, according to the Asphalt Pavement Alliance.

Haseltine noted she welcomes it all.

“A diverse economy is key to long-term resilience,” she said. “Our region has a broad talent pool, so it’s valuable to see new jobs that vary in skill level and expertise.”

Freels said the average wage at the asphalt plant will be $48,708, well above the area’s average.

Haseltine said the most impactful opportunities are those offering wages above the county average, as they create a ripple effect through the local economy.

“While asphalt may be ancient, it remains essential,” she said. “Every high-tech project still needs roads, parking and infrastructure. It’s a great example of how traditional industries continue to lay the groundwork – literally and economically – for future growth.”

In addition to the new asphalt plant in Ozark, Capital Holding Group plans to build a replacement quality assurance lab to grow its testing capabilities, according to the release.

Capital Holding Group is utilizing state benefits through the Missouri Works program, which provides withholdings or tax credits in exchange for job creation.

State officials congratulated Capital Holding on its expansion in the news release.

“This company’s continued investment in southwest Missouri is welcome news that will further strengthen the area’s growing economy,” said Missouri Gov. Mike Kehoe.

Michelle Hataway, director of the DED, expressed appreciation for the investment and job creation the expansion represents.

“Exciting things are happening in Ozark,” she said.