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UPS Completes $310 Million Louisville, Kentucky, Ground Hub Expansion

UPS completed its $310 million, multi-year, expansion at its Centennial Ground hub in Louisville, Kentucky.

The company will add 300 full- and part-time positions as part of the 838,000-plus-square-foot expansion that more than triples the size of the facility to over 1 million square feet. The additional space will accommodate increased e-commerce and traditional retail package business. The project also doubles the company’s sorting capacity to 85,000 packages per hour with additional sorting automation equipment.

The hub’s proximity to UPS Worldport at the Louisville International Airport allows UPS to provide end-of-runway express service to its customers in Louisville and surrounding areas. The new setup will allow packages to be inserted into the Worldport air operations as late as 1:30 a.m.

“The significantly expanded ‘Centennial’ hub will provide even more advantages to companies who have distribution centers and operations in Kentucky and surrounding areas, while also benefiting local customers,” said Joe Boyle, President of UPS’s Ohio Valley District.

“UPS is grateful for the strong relationship we have built with the city of Louisville and the state of Kentucky. We are proud to be a partner in the economic growth of the region. UPS is building innovative solutions to serve our small, medium and large businesses in Louisville, throughout the Ohio Valley, across the United States and around the world. This expansion is part of growing UPS’s smart logistics network to enable companies of all sizes to deliver products when, where and how their customers want them,” he added.

This past November, UPS opened a new package delivery facility in Richwood, Kentucky. The facility serves the rapidly growing business and residential demand in the surrounding area that includes Cincinnati, Ohio.

UPS employs almost 29,000 people in Kentucky in package delivery operations, aircraft operations, ground freight, healthcare logistics and contract logistics. Louisville is the home of UPS Worldport, the largest automated package handling facility in the world, and the center point of the UPS worldwide air network. Headquartered in Atlanta, UPS serves more than 220 countries and territories worldwide.

“The commonwealth of Kentucky congratulates UPS on completing their transformative $310 million Centennial Ground hub expansion at Louisville International Airport,” Governor Matt Bevin said. “We are grateful for our strong, enduring partnership with UPS and for the company’s powerful impact upon the workforce, economy and community of the Louisville region. The sky is truly the limit as UPS continues to expand its extensive operations here in Kentucky, America’s premier transportation and logistics hub.”

The Kentucky Economic Development Finance Authority previously approved UPS for tax incentives through the Kentucky Enterprise Initiative Act. KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing. In addition, UPS can receive resources from the Kentucky Skills Network.

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