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3/22/2016 11:00:00 AM Write a Letter to the Editor Write a letter to the Editor

$30 Million FedEx Distribution Center to Open in Chattanooga


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A new $30 million FedEx Ground distribution center in Chattanooga, Tennessee, being built off Interstate 75 will open in August 2017, officials said March 21.

FedEx Ground, the small package delivery unit of the Memphis-based shipping giant, has entered into a lease agreement for the 235,000-square-foot center at Exit 9 at I-75 and Apison Pike, said company spokeswoman Meredith Heighington Miller.

Dirt work is underway at the site directly across from Enterprise South industrial park. The massive industrial park holds the VW auto assembly plant and Amazon's large distribution center.

Miller said exact staffing needs have yet to be determined for the FedEx facility, but it will employ a mix of full- and part-time employees.

"We will add to the workforce as necessary to support increased demand for service in the area," Miller said.

James Saad of Mobile, Ala.-based builder Saad Development Corp. said the facility's approximately $30 million price tag includes about $2.5 million in public utility and road improvements.

The 80-acre vacant tract will have about 20 acres remaining for development at the front of the site when the distribution center is complete, he said.

FedEx isn't expected to seek property tax incentives for the project, according to the Chattanooga Area Chamber of Commerce.

The company already operates a FedEx Ground distribution facility in Chattanooga that it built in 2008 off Alton Park Boulevard. That $15 million, 163,000-square-foot facility is located on a former Wheland Foundry site. That facility is expected to remain open, the Chamber said.

The Times Free Press reported last year that a tract within Enterprise South was considered for the new FedEx facility. That location off Hickory Valley Road was considered too small and much of it is wetlands, according to state documents.

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By Mike Pare
Chattanooga (Tenn.) Times/Free Press

 

Distributed by Tribune Content Agency, LLC.



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