American Broach & Machine Co. invests $1.5M in Ypsilanti building

To keep up with production and R&D demands, American Broach & Machine Co., a maker of broaches (metal cutting tools), broaching machines, and CNC and manual broach tool sharpening machines for the auto, aircraft, train, off-road vehicle, defense, and other industries, recently purchased a new 42,880 sq. ft. building at 535 S. Mansfield St. in Ypsilanti. Adjacent to its 23,200 sq. ft. current location at 575 S. Mansfield St., the acquisition means a near-tripling of the company's current total square footage.

American Broach & Machine Co. has been in business since 1919, and once employed Rosie the Riveter (Geraldine Hoff Doyle) as a broaching machine operator in its former Ann Arbor factory.

The company will keep its existing building and move about half of its employees and equipment to the new location, beginning in June. The move should be completed by September, says President Ken Nemec.

"We're going to be making broach tools in that plant and working on R&D projects for the broach and metal-cutting business. We've got three or four irons in the fire of things we'd like to develop," Nemec says.

The purchase price was just under $1 million, and the company will invest another $500,000 in upgrades prior to moving in, according to Nemec. Upgrades include more efficient heating, ventilation and cooling systems systems, and high-efficiency lights using one-third the electricity of the current fixtures.

The company has 48 employees and has been consistently hiring, adding a new position every 1-2 months, Nemec says. The average salary is over $50,000 per year. There are 4-5 job openings right now.

"We're looking for unskilled trainee workers that have an aptitude for becoming a toolmaker. Over the next five years I anticipate adding probably 30 positions like that, " Nemec says, adding, "Within five years, maximum ten, we'd like to have 100 employees."

Source: Ken Nemec, president, American Broach & Machine Co.
Writer: Tanya Muzumdar