Real Estate Journal — Economic Development — January 25 - February 7, 2019 — 9C
www.marejournal.com
M id A tlantic
Projected Operation: Q3 2019 Urban Outfitters Announces Indiana Fulfillment Center I ndiana C ounty , P ennsylvania
O fficials in Indiana County are lauding Urban Outfitters for its decision to build a 836,000 s/f fulfillment center, with some experts painting the retailer's $30 million invest- ment as a watershed moment for economic development in the county. Located at the Windy Ridge Business & Technology Park in White Township, URBN will create 225 permanent jobs once the Philadelphia-based retailer's center is operational, an employment gain that the Indiana Gazette reported will represent “the most jobs cre- ated by a single employer in Indiana County in more than five decades." Urban Outfitters paid $5.6 million for the 48.5-acre site, where it will spend another $25 million on the facility's construction. “Urban Outfitters’ move to Indiana County will sig- nificantly impact our region’s economy. In addition to the hundreds of full-time, fami- lysustaining jobs at the ful- fillment center, there will be
hundreds of construction jobs as the facility is built,” said Rep. Dave Reed (RIndiana) in a statement. Byron G. Stauffer, Jr., ex- ecutive director for the Indi- ana County Office of Plan- ning & Development said, “In the Summer of 2017, I had a chance introductory-type meeting with Urban Outfit- ters, to simply introduce my- self as well as what Indiana County had to offer. There were no expectations at that time nor a mention of a spe- cific project, but as part of a familiarization tour, I drove the URBN representatives around the area, finishing up at theWindy Ridge Business & Technology Park. At that time, the Indiana County Develop- ment Corporation was nearly complete with the construc- tion of the second phase of the business park, inclusive of a 720,000 gallon water tank, underground utility exten- sions, grading of lots, storm- water systems, landscaping, and a cooperative project with PennDOT to widen SR 286 and add turning lanes and traffic
signals at the front entrance of the business park.” “A few months later, we were informed of an opportuni- ty regarding a new fulfilment center project and worked over the next nearly 11- months to demonstrate that Indiana County was the right place for URBN’s proposed project beyond the real estate compo- nent, our county and regional workforce stood out as did our regional transportation net- work. In addition, our State elected delegation, specifi- cally Representative Reed and Senator White, our County Commissioners, community leaders, and the Governor’s Office, each stood tall for Indi- ana County throughout. Indi- ana County is home to Indiana University of Pennsylvania (IUP), and one of their many successful programs is their Supply Chain Management curriculum. Having IUP here was certainly another major factor, Stauffer, Jr. said. “ Besides the permanent posi- tions, as many as 600 other temporary construction jobs are expected to be created
thanks to Urban Outfitters' commitment to build its fulfill- ment center. The number of jobs are a boost to the local economy alone, but Urban Outfitters' arrival in Indiana County could mean even more for the county and the surrounding region. “This facility and its potential for growth is an economic gamechanger for us, and we are grateful to compa- ny officials for choosing Windy Ridge and Indiana County for this major investment,” said State Sen. Don White (R-41) in a statement. Explaining to the Indiana Gazette that the construction shows the county's economy is spreading beyond "meds and eds," David Yerger, the chairman of the Department of Economics at IUP said, “What history suggests could happen, in the optimistic view, is that the toughest firm to attract in an area is the first firm. If they come in and have a posi- tive experience, and maintain or expand their staffing, that makes it even easier for the economic development folks to
recruit the next firm.” Local officials believe that the site may have been picked over a few other contenders, hence Indiana County eco- nomic development officials took steps to court the retail giant. Economic development officials shepherded the plan through local governments to demonstrate the commitment of the community, the latest of which was the expansion of the Keystone Opportunity Zone designation at Windy Ridge to extend the life of the Keystone Opportunity Zone (KOZ) Program. URBN will pay a payment in lieu of taxes on the current assessed value for 10 years, through the end of 2029. Other decision-making fac- tors included improvements by PennDOT to the transporta- tion infrastructure surround- ing the business park, such as widening roads and installing traffic lights. Plans for the structure, which Urban Outfitters chief development officer David Ziel said could grow to nearly continued on page 10C
URBN Indiana Fulfillment Center Projected Operation: Q3 2019
SITE AREA
WINDY RIDGE BUSINESS & TECHNOLOGY PARK White Township, Indiana County, Pennsylvania
Parcel: 48.466 Acres Facility: 880,000 SF Office Area: 60,000 SF
Larger than 15 Football Fields
CAPITAL EXPENDITURE
$25MM — Construction $5.6MM — Land Acquisition $30.6MM — Total
JOB CREATION
600 — Potential Temporary Construction Jobs 225 — Full-Time Jobs upon Full Operation — Up to 500 at Peak
INDIANA COUNTY CENTER FOR ECONOMIC OPERATIONS
www.indianacountyceo.com
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