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Japanese automotive manufacturer makes strategic real estate decisions to support growth

Supporting growth with real estate

Founded in 1988, Hirotec America is a global automotive supplier specializing in highly sophisticated manufacturing equipment. Hirotec has gained a strong client base across the United States through providing customized solutions to manufacturers such as General Motors, Stellantis, Ford, Honda, and Toyota.

The catalyst of the company’s growth has been an aggressive and rapid expansion to its U.S. operations. During this period of continual growth, Hirotec America engaged Plante Moran Realpoint (PMR), formerly Plante Moran Cresa, to help the leadership team make strategic real estate decisions and position the company as a premier automotive supplier.

Creating an optimal real estate footprint

In 2014, PMR helped Hirotec analyze its existing real estate footprint regarding the organization’s leased vs. owned facilities. One key area of consideration was Hirotec’s frequent headcount fluctuation due to dynamic OEM job requirements. After creating a strategic real estate plan that supported long-term business goals, Hirotec engaged PMR to conduct site selection analysis for the organization’s North American headquarters. PMR's construction experts helped Hirotec understand the construction costs associated with each option.

Ultimately, Hirotec built a 174,000-square-foot facility in the prestigious Executive Hills Park of Auburn Hills, Mich. PMR assisted Hirotec in coordinating a built-to-suit transaction, selecting a developer to design and construct the space to Hirotec’s needs while limiting real estate-related risk and exposure. The headquarters space anchors Hirotec among many of the automotive world’s most recognizable companies.

As a result of continued growth, PMR has guided Hirotec through more than 1 million square feet in real estate transactions in Michigan and across the Midwest, including the lease of the 200,000-square-foot former Delphi Plant in Flint, Mich., and a $40 million investment to construct a new manufacturing facility in Fayetteville, Tenn. At locations across Hirotec’s portfolio, PMR's incentive consulting services have saved the organization millions of dollars in real estate and construction costs.

Plante Moran Realpoint's advantage

As a trusted advisor, PMR has helped Hirotec be proactive with real estate decisions, allowing the organization to capitalize on advantageous market conditions and new business opportunities.

Engaging with PMR has saved Hirotec America millions in real estate costs and stimulated further growth. In expanding their operations, Hirotec America has created hundreds of jobs in communities across the United States.

Contact us today to discover how we can make real estate support your business goals.

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