HOUGHTON - When Carlton Crothers first came to Houghton in 2005 as the MTEC SmartZone's CEO, the Powerhouse was half-full, the Jutila Center didn't have many SmartZone tenants and there was only one tenant in the Advanced Technology Development Complex.

The conclusion he presented to the SmartZone board: We're going to need more space.

"I saw the potential demand, and I said 'We've got to start now,'" he said. "They thought I was crazy. But I was pleasantly surprised how many in the community came together for the goal of providing economic development."

Four years later, the SmartZone's incubators are filled. But because of those early plans, there's more space coming online at the former UPPCO building.

Michigan Technological University purchased the building in July.

The MTEC SmartZone received a $3.02 million federal Economic Development Administration grant in September for renovations at the building. The Michigan Economic Development Corp. also provided a $500,000 grant for the SmartZone's 20-year lease of the building's first floor.

The renovated building will meet Leadership in Energy and Environmental Design standards, and have movable walls to allow for further expansion.

"Even though the building looks nice ... it's approximately 20 years old, so a lot of the things that went into the building are at the end of its life cycle," Crothers said.

Final approval of the bids should happen in May and new tenants should be coming in by the end of September, Crothers said. There will be approximately 15,000 square feet.

Crothers said two Fortune 100 companies are in discussion for space, along with several start-ups.

All that's missing now is something to replace "the UPPCO building."

"We haven't gotten a name yet," he said.

Garrett Neese can be reached at gneese@mininggazette.com.