Wednesday, December 14, 2005

Jones Lang LaSalle

FedEx Will Get New 150,000-SF Distribution Center
By Eric Peterson
Last updated: December 13, 2005 02:06pm

(To read more on the industrial market, click here.)
DOVER, NJ-FedEx is set to get a new 150,000-sf distribution center within a site that until recently was owned by this city. Woodmont Properties, based in Parsippany, and the Indianapolis-based Scannell Properties have just taken title to the 50-acre tract, known locally as the North Sussex Street landfill.

Before construction can begin, the dormant municipal landfill needs to be remediated. The site was used for domestic waste from the early 1950s until it was closed down in the early 1970s. And what Woodmont and Scannell have in mind beyond the newly announced FedEx package distribution center is a general plan of mixed uses, potentially including office and flex space and a hotel. No timetable for development of the various uses has been announced.

However, FedEx hopes to have its new facility up and operating on-site by the end of next year. “We will be relocating our local ground operations to this site,” says Sean O’Connor, FedEx Ground managing director for the New York metro region. “This site will create new jobs and allow us to better serve and New York/New Jersey market.”

Lewis Zlotnick, Woodmont’s COO, credits local government officials with “getting us to this point in our plans. We were able to navigate a difficult and lengthy regulatory approval process in order to close a landfill and redevelop a site that has been dormant for more than 35 years.”
“This project certainly maximizes the rehabilitation of land, and it demonstrates innovative land reuse alternatives,” says Dover municipal engineer Michael Hantson, who with local EDC chairman and mayor-elect James Dodd is being given credit for moving the proposal along on the public sector side. “This project represents new tax revenue for the town and employment opportunities for our residents.” The former landfill is also within a designated regional center under the state’s growth management plan.