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Chobani Invests $567M to Expand La Colombe Coffee Plant in Michigan

Chobani's $567M La Colombe expansion in Norton Shores would be the most expensive development in Muskegon County history, and it's set to boost Michigan milk purchases from 30M to 615M pounds annually.

Sam Ortega4 min read
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Chobani Invests $567M to Expand La Colombe Coffee Plant in Michigan
Source: www.just-drinks.com
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The most expensive development project in the history of Muskegon County has just been announced: Chobani plans to spend $567 million to expand its La Colombe coffee plant in Norton Shores, according to the Greater Muskegon Economic Development corporation. For a RTD category that has been rewriting the rules of the coffee aisle for years, the scale of this bet is hard to overstate.

The multi-phase, $567 million expansion is expected to add over 200,000 square feet of production space and nearly 340 new jobs, while retaining 312 existing positions. Michigan Strategic Fund materials put the new-jobs figure at 337, a number tied directly to a $5 million Michigan Business Development Program performance-based grant that the MSF Board approved alongside the investment commitment. The expansion would occur in three phases and include the expansion of end-to-end coffee manufacturing capabilities in Michigan.

The announcement comes at a pivotal moment as demand surges for La Colombe's signature ready-to-drink lattes. La Colombe first started in Philadelphia in 1994, making high-quality coffee in cafés across the country, and in 2016, the brand launched its signature ready-to-drink lattes, bringing the coffeehouse experience into hands across the country. Made in Norton Shores with locally sourced Michigan milk, La Colombe lattes helped redefine the ready-to-drink coffee category with cleaner ingredients, less sugar, and better nutrition.

The numbers behind the milk sourcing alone illustrate why local dairy farmers are paying close attention. The increased production means Chobani will buy significantly more milk from local Michigan farmers for the La Colombe plant, increasing supply from approximately 30 million to an expected 615 million pounds annually over the next few years. That is a more than 20-fold increase in raw milk procurement from the region.

The investment makes Norton Shores the main hub for La Colombe's coffee operations across manufacturing, production, R&D, and innovation. The Michigan expansion follows two major manufacturing investments Chobani announced in 2025 totaling $1.7 billion: a $500 million commitment to expand production by 50% at its Twin Falls, Idaho, facility, and another $1.2 billion to build a dairy processing plant in upstate New York, the largest plant investment in Chobani's history.

Hamdi Ulukaya, founder and CEO of Chobani, framed the investment in the language of community rather than capacity. "La Colombe has been making ready-to-drink lattes in Norton Shores for more than a decade, and from day one this community has welcomed us with open arms," Ulukaya said. "There's something special here — in the hardworking spirit of the people, in the pride of Michigan's farmers who produce high quality, delicious, farm-fresh milk, in the way neighbors show up for one another." "For us, growth is about more than numbers — it's about supporting the community, creating opportunity, and building something that lasts. This is just the beginning of a beautiful journey together in West Michigan, and we're committed to being part of it for many years to come."

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State officials amplified that framing. Governor Gretchen Whitmer said: "Companies know that they succeed when they invest in Michigan. I want to thank Chobani for working with us to create 337 good-paying jobs and invest $567 million here in Michigan's local economy. It shows the world that Michigan is the best place to grow stuff and build a thriving agricultural economy. From the dairy farm to the production floor and the shelves of our grocery stores, let's keep working together to help more workers, businesses, and families 'make it' in Michigan."

GMED President and CEO Trevor Friedeberg called it "a defining moment for Muskegon County," adding: "It's one we've been building toward for years. There's a reason companies like La Colombe and Chobani are choosing to invest here. We offer the infrastructure, the water and wastewater capacity, and the skilled workforce needed to support large-scale manufacturing, along with an unparalleled quality of life."

Governor Whitmer's announcement included MSF Board approval for support for improving wastewater infrastructure to communities across Muskegon County, which is also advancing the Chobani investment. The sewer system in the neighborhood was built in the 1970s and its capacity is being maximized; the multi-million dollar system expansion will allow the drains to handle the additional load from the expanded facility.

Norton Shores Mayor Gary Nelund said: "The impact that this investment will have on the City of Norton Shores is monumental. The leadership at La Colombe/Chobani has shown through this entire process how much it cares for its employees, its products and the community." For a plant that currently employs 312 workers, the prospect of nearly doubling the workforce while 20-folding its milk intake represents a generational shift for West Michigan's food manufacturing corridor, and for everyone who grabs a Draft Latte off the shelf.

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