Celliance adding distribution center

Celliance is relocating its national distribution center to Lawrence from Massachusetts, creating four new jobs and strengthening the company’s biotechnology investment in town.

Celliance, a division of Atlanta-based Serologicals Corp., is leasing 15,000 square feet of space in the former Davol building at 700 E. 22nd St.

The space will accommodate products from Celliance plants in Illinois, Canada and – most important – Lawrence’s East Hills Business Park, once it begins production that is scheduled to start early next year.

“Lawrence has been a great place for Celliance, so we are pleased to be expanding our presence here,” Celliance President David Bellitt said in a statement. “The distribution center will be an important component in our operations.”

The announcement comes as Celliance continues testing and certification processes at its $28 million production plant, which company officials have described as vital to its ability to satisfy demand for products for pharmaceutical operations and other companies and institutions.

The plant has been idle since March, when Serologicals announced that it would be laying off 19 of the company’s 26 employees in Lawrence, citing delays in customers’ own certification processes at the plant.

The plant is set up to produce Ex-Cyte, a serum that promotes cell growth.

“It’s going to be fully operational in early ’06,” said Bill Davis, a Serologicals spokesman. “It’s moving. Unfortunately, it’s a slow process. It’s still moving ahead and still looking strong.”

He added: “When it becomes fully operational, it will be full steam ahead.”

When the distribution center will open also remains unclear. Davis said the Lawrence center would replace Celliance’s existing center in Milford, Mass., which is closing as part of a shutdown of the company’s larger manufacturing operation there.

Of the 50 jobs being lost in Milford, Davis said, four were from the distribution center. Those four positions essentially are being transferred to Lawrence, where new employees will be hired.

“This shows our support of the Lawrence area, and we’re serious about doing business there,” Davis said.

Officials with the Lawrence Chamber of Commerce worked for several months to help land the national distribution center. Lynn Parman, the chamber’s since-departed vice president for economic development, and Heather Ackerly, director of business retention and attraction programs, helped company officials identify options and seal a deal.

Lavern Squier, the chamber’s president and CEO, sees the distribution center as a sign of more good things to come from Celliance.

“This is a starting point,” he said.

The former Davol building, with 215,000 square feet of space, is owned by an investment group led by Rand Allen, of Allen Press; Smitty Belcher, of Huxtable & Associates Inc.; and contractor Joel Fritzel. The group purchased the building in July.

Belcher intends to use space in the building for his business, and Fritzel intends to use some of it for a shop. Davol leases a small portion of the building in case it needs more manufacturing space in the future.