FedEx Ground plans to build a $40.6 million facility in Jefferson County that would create 285 full- and part-time jobs within three years of the project’s completion, the Birmingham Business Alliance announced today.
The 300,000-square-foot FedEx Ground facility will stand on a 46-acre site off Lakeshore Parkway, a growing logistics and distribution corridor that would place the new building next to a Dollar General distribution center.
Construction on the facility is expected to begin around Sept. 1, with completion scheduled for June 2021.
The City of Bessemer, the City of Birmingham and the Jefferson County Commission have been close collaborators on what the BBA is calling one of the largest economic development projects this year in the Birmingham region.
“The Birmingham Business Alliance is happy to support our local community allies and the company to bring this project to the Lakeshore corridor,” said Jeff Traywick, vice president of economic development at the BBA.
“This project is further evidence that our region’s logistical attributes make our area a prime option for companies looking to grow their distribution footprint in the Southeast,” he added.
The BBA worked with FedEx Ground to coordinate the incentives process and facilitated early-stage discussions around the intergovernmental agreement between Bessemer, Birmingham and Jefferson County.
The BBA was also instrumental in bringing recent logistics and distribution operations to the Lakeshore corridor from other major companies like Amazon and Carvana.
In July, the cities of Birmingham and Bessemer entered into an intergovernmental agreement to support the FedEx Ground project, and tax abatements were approved by the Birmingham Industrial Development Board and the Jefferson County Commission.
“This project required extraordinary communication due to its multi-city location,” Jefferson County Commissioner Steve Ammons said. “I am continually encouraged by the cooperation I see between our municipalities, especially when they are rallying behind new jobs for Jefferson County.”
The site is currently owned by U.S. Steel Corp., and 94 percent of the facility will be located in Birmingham, with the remaining 6 percent – including office operations, a parking lot and an access road – in Bessemer. Both cities are located in Jefferson County.
Birmingham Mayor Randall Woodfin said the high level of cooperation on the FedEx Ground project shows that cities and counties in the Birmingham region are more willing than ever to work together on economic development projects.
“This project is an excellent example of regional cooperation as we worked with Bessemer and Jefferson County to bring about an expansion of FedEx Ground in the Birmingham area,” Woodfin said.
“The jobs and investment are very important to our economy, and I want to thank FedEx Ground for choosing this site that we share with Bessemer. I pledge our continuing support as the project moves forward,” he said.
Bessemer Mayor Kenneth Gulley agreed that collaboration across city lines was a reason this project was successful.
“We’re looking forward to the fruits of this partnership between the City of Bessemer, the City of Birmingham and Jefferson County,” Gulley said. “This project is indicative of what we can accomplish in this region when we work together for the common good. We’re providing jobs for the residents of Bessemer, Birmingham and all of Jefferson County.”
With nearly 300 jobs and more than $40 million in capital investment, the FedEx Ground project is a boost for 2020, a year marked by COVID-19 and economic challenges.
“Adding more jobs, especially during this pandemic, is crucial for our local economy,” Jefferson County Commission President Jimmie Stephens said. “Collaboration is the key to success for all of our communities in the county, and it’s great that we are beginning to see the results from our work.”