Watts Radiant leaders buy former Hawker Battery plant

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by Eric Olson|ret||ret||tab|

SBJ Reporter|ret||ret||tab|

eolson@sbj.net|ret||ret||tab|

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Watts Radiant is filling a 2-year-old void in Springfield's Partnership Industrial Park.|ret||ret||tab|

Dan and Mike Chiles, who work for Watts Radiant, acquired the former Hawker Battery Co. plant, left empty in May 2002. Hawker was the park's first tenant in 1998.|ret||ret||tab|

The Chiles brothers formed Buckner Industrial to acquire the 140,000-square-foot facility April 29 for $3.4 million. Hawker built the plant in 1998 for $3.9 million.|ret||ret||tab|

Buckner Industrial will lease the building to Watts Water Technologies, Watts Radiant's publicly traded parent company.|ret||ret||tab|

It's good news for Springfield, City Utilities and Springfield Area Chamber of Commerce officials the entities that run the industrial park but even better news for Springfield's manufacturing community. Manufacturing lost 1,200 jobs, dropping employment levels 6.6 percent between March 2003 and March 2004 in the Springfield area, according to new Missouri Economic Research and Information Center data. Comparatively, Springfield's overall job growth was 3.9 percent during that same period.|ret||ret||tab|

Watts Radiant officials expect employment to double in its new plant. There are 75 employees.|ret||ret||tab|

"We're projecting that in two years after we're moved in, we'd like to double the size of the company," said Dan Chiles, vice president of marketing. "That is our goal."|ret||ret||tab|

Chiles' ambitions are partly inspired by the way the company has fared during the recession, which has been tough on area manufacturers.|ret||ret||tab|

"We haven't skipped a beat," Chiles said.|ret||ret||tab|

Employment at Watts Radiant has remained steady, Chiles said. And business is on track to grow 50 percent over last year's $18 million, said Mike Chiles, general manager. Company officials project $30 million in sales this year.|ret||ret||tab|

"The radiant business is trendy right now," Dan Chiles said.|ret||ret||tab|

Watts Radiant manufactures hydronic and electric residential heating elements, such as tubing pumped with warm water and electric mats for flooring.|ret||ret||tab|

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Turnaround|ret||ret||tab|

Watts Radiant's move consolidates seven office and warehouse locations scattered around town. |ret||ret||tab|

The move is planned segments, beginning June 11 with office equipment, computer networks and phone systems. Production equipment relocation is planned to wrap up in July.|ret||ret||tab|

The move also signifies a complete turnaround for the company that filed bankruptcy in 2000, after losing a $2.7 million lawsuit to Goodyear. It operated as Heatway at the time, but was acquired by national plumbing and hydronic heating company Watts Water Technologies of North Andover, Mass., during reorganization. The name changed to Watts Radiant in 2001.|ret||ret||tab|

"It's a total boost for our company," Dan Chiles said of the new facility.|ret||ret||tab|

New life and new digs have built new ambitions for Dan Chiles.|ret||ret||tab|

He is laying the groundwork for a national radiant heating training center for contractors at Watts PIC facility.|ret||ret||tab|

"We would like to see Springfield become a national center for radiant training," Chiles said. "That means we are extremely interested in the kind of air service we get out of Springfield. We'll be looking at accommodations and entertainment all sorts of support for this national effort."|ret||ret||tab|

To that end, the company is building a two-story model home inside the plant. It's called the Open House, and will be used for hands-on contractor training, product testing and as a set for filming instructional videos and still shots for product literature. "It's going to be a busy place," Chiles said.|ret||ret||tab|

Residential architect Randy Hone is designing the Open House.|ret||ret||tab|

A new product line will roll out in the new plant, as well. It's called Crosslinked Polyethylene, also known as PEX, and is used in piping for plumbing lines and radiant floor heating, Chiles said.|ret||ret||tab|

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The deal|ret||ret||tab|

Buckner Industrial bought the building from EnerSys Inc. of Reading, Pa., according to CJR Commercial Group Realtor Larry Grover, who brokered the transaction. |ret||ret||tab|

EnerSys is a global battery manufacturer that owns Hawker. The deal was financed by city of Springfield-issued industrial bonds, backed by Great Southern Bank.|ret||ret||tab|

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