MILWAUKEE (AP) -- A Spanish train company that agreed to build an assembly plant in Wisconsin said Tuesday it has chosen a site in Milwaukee, creating about 125 new jobs in the city.
Talgo Inc. chose Milwaukee over other options in Appleton, Janesville and Racine because of the city's access to a harbor and local rail station, the availability of skilled workers and the reasonable cost of living, said Antonio Perez, the company's chief executive.
The new facility will be on the site of a former Tower Automotive plant. Perez said it has enough room to accommodate train sets of 14 rail cars and also allows room for expansion as more orders roll in.
"We don't intend to come here for two years and then get out," Perez said. "We plan to be here for a long time."
The deal will also bring an estimated 450 jobs to Midwest companies that will provide supplies and related services, Perez said.
Talgo had said it would build its U.S. assembly plant in the first state to order trains. Wisconsin won after Gov. Jim Doyle said last July the state would buy two trains for a total of $47 million. Oregon has since ordered two trains, which will also be made in Milwaukee, Doyle said Tuesday.
Wisconsin's two trains are for Amtrak's Milwaukee-to-Chicago line. The state also has an option for two additional trains to serve a proposed Milwaukee-to-Madison route.