Norfolk company acquires Portsmouth shipyard for $3.8M

PORTSMOUTH

East Coast Repair and Fabrication LLC of Norfolk, has purchased Associated Naval Architects Inc., a small Portsmouth shipyard, for $3.8 million.

The roughly 12-acre site, just south of APM Terminals Virginia at the mouth of the Elizabeth River's Western Branch, has several piers and marine railways and direct access to the river's channel.

The sale closed Sept. 23.

"We have big plans for this yard," said Jorge Rivera, president of East Coast Repair, on Tuesday. "This is going to be a yard concentrating on small-boat repairs and commercial vessels, barges, tugboats, things like that."

The company plans to invest $1 million initially for site improvements and cleanup.

By early next year, East Coast Repair plans to employ 100 to 200 people at the shipyard, with a mix of current and new employees, and subcontractors. The company hired the roughly 30 Associated Naval Architects workers at the yard, Rivera said.

Between 50 and 60 employees, including East Coast Repair managers and subcontractors, are working in the yard.

Founded in 1999, East Coast Repair provides welding and fabrication services to the military and businesses in Hampton Roads and nationwide.

The business employs about 600 people. In addition to its Norfolk headquarters, it has operations in Jacksonville, Fla., and Portland, Ore., as well as two subsidiaries, one that does marine painting and another offering staffing services.

In 2008, East Coast Repair won a five-year, $42.4 million Navy contract to maintain hull, mechanical and electrical systems and equipment on Navy vessels.

Since buying the Portsmouth shipyard last month, it has secured $15 million in government contracts, Rivera said.

Work for the recently awarded contracts will be done at the shipyard, which will drive the need for more workers, he said.

Associated Naval Architects was founded in 1946, providing maintenance and modifications to vessels in the government and commercial sectors, according to the company's website. It even has worked on such ships as the replica of the Susan Constant owned by the Jamestown Foundation.

In 2009, the company, along with three others, won a Navy contract enabling it to compete for task orders worth up to $127.4 million for work on Navy living barges.

Rivera said East Coast Repair has applied to the Navy for the OK to assume Associated Naval Architects' share in the contract and is awaiting its decision.

Associated Naval Architects officials did not respond to email and phone messages seeking comment.

Robert McCabe, (757) 446-2327, robert.mccabe@pilotonline.com