Virginia Captures Key Warehousing, Distribution Center Ventures
[Stay on top of transportation news: Get TTNews in your inbox.] Beating out other states, Virginia snagged two warehousing and distribution center ventures worth $289 million for a logistics park and a port.
Beating out other states, Virginia snagged two warehousing and distribution center ventures worth $289 million for a logistics park and a port.
Gov. Glenn Youngkin announced Nov. 16 the capture of a $275 million contract from World Class Distribution Inc. (a distribution, warehousing and cold storage network company) to build a 1.2 million-square-foot distribution facility in the Caroline 95 Logistics Park in Ruther Glen.
“Virginia’s extensive transportation infrastructure is the cornerstone of our position as a leader in supply chain management, and World Class Distribution’s major investment will contribute to the commonwealth’s success in this important industry,” Youngkin said, adding that the state will have 745 new jobs after beating out North Carolina for the project.
World Class Distribution, founded in 2009, is a subsidiary of TACT Holding Inc. According to the governor’s office, it manages 11 distribution centers in eight states and distributes canned foods, dry goods, sweets, groceries, beer, wine, frozen foods and other refrigerated products.
“Caroline County’s strategic location and proximity to major highways will position World Class Distribution for continued growth in the U.S. market,” noted Caren Merrick, state secretary of commerce and trade. She called the project a significant one that will attract other investments in the state’s logistics capabilities.
Officials from the Virginia Economic Development Partnership and Caroline County worked to win the project, with Youngkin approving a $3 million grant from the Commonwealth’s Opportunity Fund to sweeten the deal. World Class Distribution is eligible to receive benefits from the Major Business Facility Job Tax Credit for new, full-time jobs created. In addition, state economic development and transportation department officials are determining if the new venture is eligible for additional funds from the Economic Development Access Road program.
World Class Distribution, Inc., a distribution, warehousing, and cold storage network company, will invest $275 million to establish a 1.2 million-square-foot facility in Caroline County, creating 745 new jobs. @Fredregion @CarolineGov https://t.co/kS0a57e9EK pic.twitter.com/a1m1Sj7OpX — Virginia Economic Development Partnership (VEDP) (@VEDPVirginia) November 16, 2022
On Nov. 10, Youngkin proclaimed Virginia had beaten South Carolina to entice a Tokyo-based company called Nakano Warehouse & Transportation Corp. to invest $14 million in constructing a new warehouse and distribution facility in North Commerce Park in Chesapeake near the Port of Virginia.
“The supply chain industry in the commonwealth continues to gain momentum, in large part due to The Port of Virginia’s unparalleled infrastructure,” Youngkin said, noting that “we look forward to supporting this global company’s success.”
This new venture, which will create 25 new jobs, came about through the combined efforts of officials from the Port of Virginia, state Economic Development Partnership, city of Chesapeake and Hampton Roads Alliance.
Just recently,Nakano Warehouse & Transportation Corp announced their $14 million investment to establish a new warehouse & distribution facility in Chesapeake, only 15 miles to our terminals.We look forward to collaborating with Nakano & being their global gateway to world trade. pic.twitter.com/ipJ2RFHZpB — The Port of Virginia (@PortofVirginia) November 22, 2022
“We worked diligently with our partners to attract Nakano Warehouse and Transportation to Chesapeake, where it will provide supply chain management for several companies within the market. The Port of Virginia is always looking for opportunities to collaborate and attract companies with the caliber of Nakano to take advantage of this port, which is the East Coast’s premiere global gateway,” said Stephen Edwards, CEO and executive director of the Virginia Port Authority.
Since its founding in 1951, Tokyo-based Nakano Warehouse & Transportation Corp. has established 10 bases across Japan and a U.S. branch headquartered in California.
The governor’s office described Nakano as striving to meet customer freight needs including large-scale cargo, high-mix, small-lot, long-term, or short-term. Nakano specializes in general truck transportation, airmail handling, freight forwarding, marine transportation, warehousing, trunk rooms, packing industry, correspondence delivery, and importing and exporting.
Nakano opened its first U.S. warehouse in Rancho Dominguez, Calif., in 1972.
“On our 50th anniversary of U.S. operations, we are pleased to partner with the city of Chesapeake and the commonwealth of Virginia,” Shinichi Nakano, president and CEO, remarked. “August 2023 marks the 100th anniversary of our operations in Japan, and our logistics facility in Virginia will be fundamental to the development of this area.”
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