FedEx Corporation will invest $23.5 million to build a new Fedex Ground distribution center in Sauget, Illinois which will create 175 full-time and permanent part-time jobs.
The 181,000-square-foot distribution center is scheduled to open at Sauget Industrial Parkway in August 2014. Once fully operational, the new facility will process 10,000 packages an hour. The center is part of FedEx Ground’s nationwide network expansion plan, which has added 11 major hubs and expanded or relocated 500 facilities across the U.S. since 2005. FedEx Ground currently operates 16 facilities in Illinois. The facility will create 25 full-time and 150 part-time jobs.
Sauget FXG, a subsidiary of Jones Development Company, a Kansas City-Missouri based industrial real estate company, purchased the 32 acre site in April 2013. JDC will develop the site and lease the newly-constructed building to FedEx Ground.
“FedEx Ground is thrilled to join the Sauget community, and we’re grateful to Governor Quinn for his support,” Scott Burns, Fedex Ground regional vice president said. “The site was selected for its ease of access to major highways, its proximity to customers’ distribution centers, and its strong local workforce for recruiting employees that allows us to continue to provide the world-class service our customers have come to expect.”
Gov. Pat Quinn said Illinois’ transportation network, world-class infrastructure and highly skilled workforce were key factors in the company’s decision to build in Sauget. “Illinois is one of the best places to do business in the world,” Governor Quinn said. “Great companies like FedEx Ground, which has been consistently recognized as one of the worlds’ best places to work, are growing in our state. Their expansion will help our state’s economy continue to recover from the worst recession since the great Depression.”
The Illinois Department of Commerce and Economic Opportunity is administering the state’s business investment package for FedEx Ground. The company will be eligible for tax credits, based on job creation, worth $459,000 over ten years. The tax credits are based on performance and the company is not eligible for them unless it meets its commitment to create new jobs and invest in the community. FedEx will also be eligible for training grants to enhance the quality of its workforce.