FedEx Ground will complete a more than 300,000-square-foot distribution center in Louisville next month as part of a nationwide investment of $1.6 billion this year to improve capacity and automation.
FedEx spokesman David Westrick told IL that the new center at Blankenbaker Station Business Park would complement the existing facility, which employs just over 200, including part-time workers. Some of the current employees will transfer to the new center so that FedEx has room for growth in both.
He declined to provide specifics on how many jobs would be added locally.
Westrick said the expansion is fueled by e-commerce growth and increased demand for FedEx Ground’s delivery services.
Rival UPS, Louisville’s largest employer, had announced late last year that e-commerce growth and a need for more modern technology were driving its investments of nearly $310 million in Louisville by 2018. The project will more than triple the building’s footprint to 838,000 square feet and create 300 jobs.
Westrick said FedEx chose the site, about 15 miles east of Louisville’s center, because of “ease of access to major highways, proximity to customers’ distribution centers and a strong local community workforce for recruiting employees.”
The industrial/office park sits on 600 acres at the intersection of interstates 265 and 64. According to real estate firm Hollenbach Oakley, the park’s tenants include Norton Healthcare, Malibu Jack’s and the Kentucky branch of the Federal Bureau of Investigation.
FedEx Ground is investing $1.6 billion this year on more than 160 major expansion projects, Westrick said. In the last five years, FedEx Ground has spent nearly $2.5 billion on expansions and upgrades. Since 2005, the company has opened 11 new hubs with advanced material handling systems.
“The network enhancements have accelerated service by at least one day to more than 70 percent of the United States,” Westrick said.