Cleveland Development Advisors allocates $10 million in tax credits for Cleveland Kitchen expansion

CLEVELAND, July 24 2024 — Cleveland Development Advisors has allocated $10 million in New Markets Tax Credits to Cleveland Kitchen — originally Cleveland Kraut — to consolidate and expand its production facility in the Central Kitchen Food Hub, a food incubator and accelerator on Carnegie Avenue in the Midtown neighborhood.

Cleveland Kitchen is a homegrown manufacturer and national leader in fermented foods. It was started in 2014 by brothers — Mac and Drew Anderson — and their brother-in-law, Luke Visnic, (all from Shaker Heights, OH), with a focus on creating fresh, flavorful, and high-quality sauerkraut. Since then, Cleveland Kitchen has grown to include a range of fermented foods, including kimchi, salad dressings, pickles, and pickled red onions, and now distributes to more than 20,000 stores nation-wide.

“Cleveland Kitchen’s products and growth are an inspiration to many other entrepreneurs here in Cleveland,” said Yvette Ittu, President & CEO of CDA. “Financing this expansion will not only help grow the business but it will also provide much needed quality jobs accessible to residents in our community.”

The company is utilizing the tax credit financing to offset the costs associated with relocating equipment, expanding production lines and insulating 30,000 square feet of space to use as cold storage.  This expansion is creating 80 new permanent jobs and retaining 45 positions in Cleveland.

Cleveland Kitchen believes that its most recent product addition -pickles – is its biggest opportunity for growth and profitability. The investment in and expansion of the Cleveland facility will enable the company to conduct 100% of pickle production, packing and storage on site, creating necessary efficiencies.

“We very much appreciate the support from Cleveland Development Advisors,” said Drew Anderson, CEO of Cleveland Kitchen. “This kind of financial assistance is essential to our growth plan and provides more jobs to Cleveland area residents.”