Lackawanna's $77M Deckorators Plant Opens Capacity Test

Deckorators has opened a $77.2 million manufacturing and distribution facility in Lackawanna, New York, giving a former steel city near Buffalo a new production anchor tied to rail access, low-cost hydropower and a modest public incentive stack. The 253,310-square-foot plant at 300 Commerce Drive is the Michigan-based company's first New York State operation and is expected to create about 50 skilled jobs.

New York Governor Kathy Hochul's office announced the opening on June 25, and Deckorators separately said the site will initially double capacity for its Surestone mineral-based composite decking products. WKBW reported from the ribbon-cutting that hiring is underway as production ramps up, while Erie County Industrial Development Agency records show the project was approved in 2025 with a total cost of $77,225,524 and a site plan built around manufacturing, warehousing, rail and utility upgrades.

That makes the regional finance story more specific than another small factory opening. Lackawanna is testing whether a reclaimed industrial property, a multi-branch CSX rail spur, local tax incentives and Western New York's hydropower advantage can support a higher-value building-products manufacturer whose output is meant to serve Northeast retail and contractor markets.

The public-money story is small but specific

The public support behind the project is not huge compared with the recent megadeals that dominate economic-development coverage, but it is concrete. Empire State Development is providing up to $724,000 in performance-based tax credits through the Excelsior Jobs Program. ECIDA approved $1.82 million in sales and property tax incentives over a 10-year period. The New York Power Authority previously awarded Deckorators 2,080 kilowatts of low-cost Niagara hydropower.

That structure matters because it shows how Western New York is trying to compete for midsized manufacturing projects: not through one large cash grant, but through a layered package of tax relief, power-cost support, local approvals and site infrastructure. ECIDA records say the project needed electrical and gas upgrades because the manufacturing process requires large volumes of natural gas and electricity. They also note that inbound raw materials are expected to rely heavily on rail cars, while finished goods move mainly by truck.

The second-layer insight is that the incentive package is underwriting a specific operating model, not just a company logo. Deckorators is reusing and expanding an existing 168,310-square-foot industrial building, adding 19,000 square feet for capacity, holding an 85,000-square-foot warehouse for future development and installing rail improvements to support raw-material flows. Public officials are effectively betting that the site's rail, power and industrial history can lower the cost of serving the Northeast market.

Why Lackawanna is the useful angle

Lackawanna's economic context makes the opening more meaningful than the job count alone. The city is still widely associated with the rise and decline of steel production, and local officials have been trying to refill industrial land with a more diverse set of employers. WKBW quoted the city's development director, Chuck Clark, saying projects like Deckorators are meant to build prosperity without depending on one industry.

Buffalo Toronto Public Media reported when the project was selected in 2025 that Deckorators would be one of Lackawanna's larger economic-development wins in recent years, with the facility expected to make decking and railing products for distributors and contractors outside New York and some foreign customers. That export-oriented detail matters for local readers: a plant that sells into broader markets can bring outside revenue into the region instead of only shifting spending within Erie County.

The company's product also explains the capacity claim. Deckorators says its Surestone technology uses a mineral-based composite material made with crushed limestone and had previously been manufactured exclusively in Selma, Alabama. A second production site in Lackawanna gives the brand a Northeast manufacturing base for retail and contractor demand, potentially reducing shipping distance and giving the company more redundancy if demand keeps growing.

What still has to prove out

The opening does not by itself prove that the public investment has paid off. The 50 jobs are an expected or ramp-up figure, and WKBW reported that the company is hosting a July 16 career fair as hiring continues. Readers should watch whether the positions are filled at the skill and wage levels described in the project record, and whether the company eventually uses the 85,000-square-foot warehouse space for additional capacity.

Utilization is the other test. Deckorators says the plant initially doubles production capacity for Surestone decking lines including Voyage and Summit. Capacity only becomes economically useful if demand from retailers, builders and contractors absorbs the added output. If the plant runs near plan, Lackawanna gains a rail-linked manufacturing employer tied to a growing building-products segment. If demand softens, the public return will look narrower: a renovated site and some jobs, but less regional pull from suppliers, freight and follow-on investment.

The public record gives readers measurable checkpoints. The first is hiring after the July career fair and early production ramp. The second is whether rail, utility and driveway upgrades support the inbound and outbound volumes described to ECIDA. The third is whether Deckorators expands into the reserved warehouse space or makes additional capital commitments in Lackawanna. Those markers will show whether the $77 million opening becomes a durable Western New York manufacturing node or a one-time reuse win.