Grand Junction Daily Sentinel Newspaper-February 3, 2008
By Wyatt Haupt, Jr.


In one of the clearest signs yet that the Western Slope economy has broadened beyond its energy sector roots, a staggering $172 million was spent on business expansion last year.

And, unlike the previous year, the majority of the money pumped into the local economy was by companies other than those directly tied to the oil and gas industry.

We've got a lot of diversity in the businesses that are expanding, and last year was an example, said Diane Schwenke, president and CEO of the Grand Junction Area Chamber of Commerce.

While the single biggest capital expenditure $60 million was by Pure Energy Corp. last year, the most visible and second largest was by St. Mary's Hospital at $38 million, according to figures compiled by the chamber of commerce.

Of that money spent by St. Mary's last year, a total of $22 million was expended on its Century Project, which is taking shape on the hospital's grounds at Seventh Street and Patterson Road.

The project calls for the construction of a 440,000-square-foot patient tower and remodeling of 75,660 square feet of existing hospital space, said Dan Prinster, vice president of business development.

The elevator shafts of the patient tower, which is to measure 12 stories at completion, can be seen from many vantage points in Grand Junction as can the bright yellow crane used in the construction process.

The Century Project carries a total cost of $261 million. Beyond the $22 million spent on that project last year, the hospital also doled out $11 million on new technology while also updating its medical equipment.

At the same time, the hospital added 26 full-time employees to its payroll bringing the total number to about 1,760. That figure does not include construction workers.
That is due just to growth, said Prinster on the additional employees. As we see an increase in the population we are seeing more people at the hospital.

The third largest capital expenditure last year in the area was made by Pinnacle Homes at $23.5 million. Schlumberger, which provides oil field services, was next up spending $14 million.

Pure Energy and Schlumberger added 55 and 60 jobs, respectively, in 2007.

Those jobs were related to operator positions and support functions, said Brooke McElley, recruitment and marketing manager for Pure Energy's U.S. operations.

For much of 2007, a construction crane loomed on the horizon at St. Mary's Hospital where work on the Century Project generated $22 million in capital expenditures, part of the $172 million that was spent in 2007, according to figures from the Grand Junction Area Chamber of Commerce. [Christopher Tomlinson/The Daily Sentinel]


So support could be administrative, managerial or anything that will support the growth of the operation.

Data from the chamber of commerce reflects the businesses that responded to the group's request for expenditure and job information for the period. All told, more than 600 jobs were added last year.

Rounding out the top five capital expenditures in 2007 was the $12.2 million spent by Hilltop Community Resources. About $3.5 million went toward its brain injury campus along Wellington Avenue, said Barbara Salogga, marketing development director at Hilltop.

On a smaller scale, but no less important to the local economy, was the $15,000 spent last year by Matthew Breman of Cranium 360 on Main Street.

Cranium is a full-service marketing agency that does everything from Web development to video editing and graphic design.

Breman, who moved his business to Grand Junction in October 2005, said he spent the money primarily on infrastructure, such as computer work stations (and) high-end graphic work stations.

But he's also looking at additional capital expenditures in 2008 as his business grows.

We are planning on spending more money because we are going after some work in Spain, said Breman who estimated he could spend another $60,000 to $70,000 this year. We would need more space, more computers and more people.

(c) 2008 Cox Newspapers, Inc. - The Daily Sentinel

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