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FedEx Will Double Size Of Fresno Distribution Center

FedEx site

FedEx Ground will double the size of its Fresno distribution center later this year confirms the company. An affiliate firm has purchased a 20 acre parcel at  the southwest corner of East Ave and North Ave  – two blocks from Highway 99, says real estate broker Nick Audino of CB Richard Ellis.
Audino who handled the sale from Buzz Oates says escrow closed on the property in December and that FedEx will take a long term lease. Plans call for a 198,000 sf warehouse, double the size of FedEx’s current ground shipping center on Willow.
The new building is in its design phase says Audino.
FedEx spokesperson Allison Houser offered these remarks.
“FedEx Ground is building a new distribution center at the intersection of East North Avenue and South East Avenue in Fresno, Calif., that will be more than 198,000 square feet when it is completed in July 2014.
The new facility will replace an existing facility nearby, allowing us to continue to meet and exceed customer demands in the region. When the new facility opens, positions will transfer from the existing station, and we will add to the workforce as necessary to support increased demand for service in the area.
The site was chosen because of its ease of access to major highways, its proximity to customers’ distribution centers and a strong local community workforce for recruiting employees. The new facility is part of a nationwide network expansion to boost daily package volume capacity and further enhance the speed and service capabilities of the FedEx Ground network. Since 2005, the company has opened 11 new hubs featuring the most advanced material-handling systems and expanded or relocated more than 500 local facilities.

The network enhancements have resulted in accelerating ground service delivery by one day or more in more than two-thirds of the United States. FedEx Ground delivers more than 61% of packages in two days or less and more than 82% of packages in three days or less.  With these changes, FedEx Ground is faster to more overall locations and FedEx Home Delivery is faster to more residential locations than UPS.”

More new Construction
There are a few more signs of new construction plans for distribution companies in the Central Valley. Just few blocks away from the planned FedEx center – developer Leland Parnagian plans to build a $5 million,92,000 sf ‘spec building’ to be completed this summer says Parnagain.”We have pretty good interest” and expect to fill it by the time construction is complete he says. Parnagian has some 500,000sf under roof in his North Pointe business park that spans 230 acres in southwest Fresno.
FedEx has already been expanding in the Central Valley as it battles with rival UPS for business even as the US Post Office seems to be shrinking
FedEx has just completed occupancy of its new $24 million,32 acre, 200,000 sf transfer station in Kettleman City that takes in both north and south bound shipments allowing the drivers to return home instead of making the entire trip down I-5. The new complex will bring 60 to 80 joss to Kettleman City.
In some good news for breathers in the past few weeks – nine businesses in Kettleman and nearby Avenal, including the new FedEx transfer station in Kettleman City, signed a “good neighbor” agreement  to follow idling laws, work to cut air emissions with new cleaner technology and educate drivers.
“FedEx is committed to the environment and the communities we serve,” spokesman Scott Fielder said.
Big Box Center
Just a few weeks ago in nearby Hanford big box retailer Fry’s Electronics  announced they would remodel the 200,000 sf former International Paper facility in the Hanford Industrial Park to establish a mid-state repair center to service both its northern and southern California stores. The investment will bring about 180 jobs says the Kings EDC.  The hiring for the project is already underway as jobs are shifted from San Jose to Hanford where costs are lower.
Fry’s strategy to use our mid-state location to serve both southern and northern California – each 2 to 3 hours away – has been the mantra of  local economic development officials for decades that clearly makes sense to more firms who can consolidate two regional centers into  one.
Fresno, Kings and Tulare counties each use their location to snag plenty of jobs at companies who not only ship by truck or train but use the two big package express companies to reach  most of the markets in the state overnight by affordable ground shipment.
Visalia in particular has landed a dozen companies or more in the past decade who say they have located in the Visalia Industrial Park to be close to the big UPS hub down the block.
Because of the location a large number of companies can effectively ship to six states: California, Oregon, Idaho, Nevada, Utah, and Arizona within one day primarily through Visalia’s UPS and FedEx facility, the airport, trucking & by way of rail. Seizing this geographical location, Visalia has devoted more than 1,500 acres of the northwestern portion of the city to support industrial growth and employment says a city report.
UPS has been making a splash recently announcing the start-up of 100 clean air delivery vehicles for use in the Central Valley including Fresno.The electric trucks are made in Stockton.

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