FedEx wants to build massive warehouse in Cedar Rapids
Another major construction project may start in southwest Cedar Rapids in the near future. FedEx hopes to build a warehouse of nearly half a million square feet in the city. If it goes ahead, construction will begin this summer.
According to The Gazette, FedEx wants to build a gigantic warehouse at 1035 Commerce Park Drive SW. This location is south of Hwy 30 and west of I-380. The building, estimated at 479,000 square feet, is just under 11 acres. The facility would cost just under $ 110 million and would be used by FedEx as a sorting and distribution center for packages. It would bring more than 430 jobs to Cedar Rapids, including 75 full-time.
On Tuesday, June 22, Cedar Rapids City Council will decide on incentives for the project. The city of Cedar Rapids itself recommends reimbursing half of the new taxes the city would receive, for the next decade. The Gazette says that would make FedEx just over $ 6 million over that period, while the city would keep around $ 10.2 million.
In addition to the financial incentives, Cedar Rapids is expected to make road improvements in the area of the new facility and also help FedEx apply for a grant through the State of Iowa.
If an agreement is reached, construction of the huge new warehouse will begin no later than August 1 and end at the end of September 2022.
Cedar Rapids City Manager Jeff Pomeranz told The Gazette that the possible addition of Fed Ex to the city is “very exciting, it’s a very big project – one of the biggest projects in the world. ‘story at Cedar Rapids’.
FedEx began operations in Memphis, Tennessee in the spring of 1973 with fewer than 400 employees. In 2020, the company employed more than 500,000 people worldwide.