[15] Bmw Jacksonville Becomes Today Discuss

BMW of North America LLC said Wednesday it will invest more than $30 million to build a 450,000-square-foot Regional Distribution Center in Westside Industrial Park to replace a smaller parts facility there.

Kenn Sparks, head of U.S. corporate communications for the German carmaker, said Wednesday that BMW plans to occupy the site in April 2017.

It is expected to be fully operational in October 2017.

The structure will be developed at 600 Imeson Road. The existing facility for the Woodcliff Lake, N.J.-based company along Westside Industrial Drive is 210,000 square feet, he said.

“They are a highly prized company and this decision further enhances our auto distribution sector,” said Jerry Mallot, president of the JAXUSA Partnership economic development division of the JAX Chamber.

Distribution and logistics fit within the area’s six targeted industries. In 2015, the JAXUSA Partnership announced four logistics projects, behind the five in advanced manufacturing and tied with four in financial services.

There also were announcements in the other targeted industries of information technology, professional services, and health and life sciences.

In January, Sparks said Jacksonville was a major center for BMW Group and had been for many years, “especially as it serves our growing business in the Southeast.”

Sparks was responding then to questions whether BMW was the unidentified Project X, which was described as a 450,000-square-foot distribution center, expanding to 600,000 square feet.

That project had been courted by Hillwood Investment Properties for the AllianceFlorida at Cecil Commerce Center industrial park in West Jacksonville.

Hillwood told the city in late December the prospect had chosen another Jacksonville site, but as of Sept. 30 had not made an announcement.

BMW of North America LLC fit the parameters.

The existing BMW center was built in 2002 at 137,000 square feet and expanded in 2008. Records show the expansion was to 213,000 square feet.

The center was built to support the BMW and MINI dealerships in Florida, Georgia and North and South Carolina.

When BMW came to Jacksonville, City Council approved two grants totaling $575,000. The center said it would hire up to 50 people.

However, the 213,000-square-foot center is smaller than five other BMW regional distribution centers. The expandable Project X closely aligns with those larger centers.

Westside Industrial Park has been preparing for more development.

Owners of the 960-acre center, through Imeson Industrial Park Land LLC, bought 115 acres adjacent to it along Imeson Road in November.

Of that, about 80 acres can be developed. Three or four buildings totaling up to 1.3 million square feet of space are planned.

It’s unclear whether incentives will be sought for the new BMW regional parts center.

No legislation has been filed with the city for a deal called Project X, BMW or other projects fitting the description.

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[6] Bmw Jacksonville Becomes This Month Discuss

History and logistics raise the question whether the anticipated unidentified Project X could be BMW.

Project X is described as a 450,000-square-foot distribution center, expanding to 600,000 square feet. It was courted by Hillwood Investment Properties for the AllianceFlorida at Cecil Commerce Center industrial park in West Jacksonville.

However, Hillwood reported to the city in late December the prospect had chosen another Jacksonville site, but as of Sept. 30 had not made an announcement. No announcement has been made since then.

BMW of North America LLC, which already leases a smaller facility in Westside Industrial Park, appears to fit the parameters for Project X.

When asked whether BMW of North America wants to develop a new distribution center in Jacksonville, spokesman Kenn Sparks said “Jacksonville is a major center for BMW Group and has been for many years, especially as it serves our growing business in the Southeast.”

Sparks, manager of business communications for BMW of North America LLC, in Woodcliff Lake, N.J., signed off with “very best wishes for an exciting 2016.”

There are a few reasons that Project X could be BMW.

At present, BMW leases a 213,000-square-foot parts distribution center in Westside Industrial Park. It was built in 2002 at 137,000 square feet and expanded to 213,000 square feet in 2008.

However, other BMW centers are larger than the Westside center and some were built to replace smaller locations.

The Redlands, Calif., parts center opened early last year at almost 327,000 square feet with another 96,000 square feet for expansion.

The Lancaster, Texas, parts center opened in January 2014 at 282,000 square feet, expandable to 370,000 square feet.

The Chicago-area parts center is 306,000 square feet and the Stockton, Calif., location opened at 250,000 square feet, expandable to 375,000 square feet and then by another 50,000 square feet after that.

The Nazareth, Pa., center is 870,000 square feet.

The expandable 450,000-square-foot Project X closely aligns with those larger centers.

Second, some of the BMW parts centers absorbed work done at smaller warehouses that were closed and the work relocated.

While the location leased at Westside Industrial Park is smaller than the new centers, there’s space nearby for construction. The park’s owners bought 115 adjacent acres in November.

Of that, about 80 acres can be developed. Pattillo Industrial Real Estate plans three or four buildings totaling up to 1.3 million square feet of space.

Pattillo Vice President Peter Anderson said the company has no comment as to BMW’s plans.

Third, the Jacksonville center was built to support the BMW and MINI dealerships in Florida, Georgia and North and South Carolina. It was developed 14 years ago to stock about 70,000 parts.

As the Southeast grows and Jacksonville continues to be a major center, it likely would need more space.

When BMW came to Jacksonville, City Council approved two grants, totaling $575,000. The center said it would hire up to 50 people.

No legislation has been filed with the city for a deal called Project X, BMW or any other description fitting the unidentified company.

District 12 City Council member Doyle Carter said Tuesday he did not know an identity for Project X.

Hillwood Senior Vice President Dan Tatsch said Tuesday he was not at liberty to comment about the identity or status of Project X. He said he is bound by a nondisclosure agreement.

Kirk Wendland, executive director of the city Office of Economic Development, said Tuesday he knew the identity of Project X but declined to disclose it, citing Hillwood’s confidentiality agreement. Hillwood is the city’s master developer of Cecil Commerce Center, a former naval air station.

The JAX Chamber said it cannot comment about Project X.

[email protected]

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[15] Bmw Jacksonville Becomes This Year Picture