Patriot Homes Inc. of Elkhart, Ind., has completed a joint venture agreement with Dallas-based Holigan Homes, forming a new company, Heritage American Homes L.P.

Heritage American Homes broke ground Thursday in Sikeston's industrial park for a modular home manufacturing facility that will employ 200 people.

The limited partnership establishes Heritage American Homes L.P., with principal activity involving the production of all-drywall sectional HUD homes and BOCA modular homes, including ranch, Cape Cod, and two-story models, ranging in size from 1,000 to 2,000 square feet.

"Patriot will be the managing partner of Heritage American Homes," according to Samuel V. Weidner, president of Patriot Homes Inc. "Initially, Heritage American Homes will produce homes out of plants in Sikeston and McGregor, Texas. The Sikeston plant is an existing 125,000-square-foot building to be rehabilitated over the next several months. Production was scheduled to begin in July, with a capacity of 15 floors a day. The McGregor plant will be a new building with construction to start later this year."

In support of the project, the Department of Economic Development has awarded a $500,000 Industrial Infrastructure Grant through the Community Development Block Grant to Sikeston for street and storm sewer improvements and the construction of a rail spur to provide the company with access to railroad service and $284,000 in job training funds. Through the Sikeston Industrial Development Authority, $2.1 million tax-exempt bonds are being issued for the project.

The construction of the rail spur, which will allow Heritage American Homes to receive lumber via the railroad, will benefit other manufacturing facilities in Sikeston. A public use shipping point on the spur will allow anyone in the industrial park to use the rail spur. Another local company is planning to use the spur to receive materials necessary for the manufacturing of its products.

"We are pleased to see the Southeast portion of our state getting its share of economic success," said Joseph L. Driskill, DED director. "This is one of several large projects, producing hundreds of new jobs to be announced for this part of the state in the past several months."