Wisconsin-based premium appliance manufacturer Sub-Zero is pursuing a $196 million (€180.9m) addition to its light manufacturing facility in Cedar Rapids, Iowa, before its Phase 1 plant has even opened. The Gazette reported on the proposal, confirmed on 28 April 2026, following a Cedar Rapids City Council vote in favour of a preliminary term sheet outlining city incentives.

The proposed 225,000 sq ft Phase 2 addition will be co-located with Sub-Zero's $140.6 million (€129.7m) Phase 1 factory, which is due to open later this year. Between the two phases, the combined project is anticipated to bring just over 500 new jobs to the city.

The $196 million (€180.9m) investment will be split into $70 million (€64.6m) toward property improvements, with the remaining $126 million (€116.2m) covering machinery and equipment.

The expansion is expected to generate up to 312 new full-time jobs, 115 of which must be paid an hourly wage at or above $30.41 to qualify for city and state incentives. The Cedar Rapids City Council voted in favour of a 10-year, 100% exemption on certain local property taxes as a preliminary incentive, with city staff estimating $7 million (€6.5m) of an expected $13 million (€12m) in new taxes generated by the project would be exempted over that period.

The incentives are contingent upon Sub-Zero receiving additional support through Iowa's Business Incentives for Growth programme, administered by the Iowa Economic Development Authority. That application will be considered at the IEDA's 15 May meeting.

Cedar Rapids City Manager Jeff Pomeranz said: "We see it as a perfect match for the area. The roots of the Cedar Rapids economy are manufacturing, so they're going to be right in that sweet spot of where that all began."

View the full report on Sub-Zero's Cedar Rapids expansion plans here.