The city approved a permit Monday for Material Handling Systems Inc. to install an almost $30.7 million conveyor system at the United Parcel Service Inc. distribution center under development in South Jacksonville.
The project is a significant step toward the package delivery company’s intention to open a $50 million Southside distribution center by the holidays of 2020.
UPS is renovating the center at 9431 Florida Mining Blvd. E. to become a parcel shipping ground hub. The building formerly housed Ranbaxy Pharmaceuticals and is owned by Dubow/Shad Road Limited Partnership.
Haskew Company & Associates is the contractor for the project to renovate 244,000 square feet and build a mezzanine foundation.
City Council adopted legislation in January for UPS, called Project Danville. The location would serve the company’s customer base in the Southeast U.S.
The project comprises $5 million for real estate improvements and $45 million for machinery, equipment, furniture and fixtures, including the conveyor system.
UPS Media Relations Manager Kim Krebs at Atlanta headquarters said the facility is scheduled for completion late next year.
The legislation shows that UPS proposes to hire 87 employees at an average annual salary of $57,540 by year-end 2022.
Separately, a St. Johns Water Management District permit application calls for a parking expansion to 340 spaces and truck parking for UPS on the 18-acre site.
That indicates UPS may need more employees than the 87 jobs tied to the salary requirement.
UPS also is expanding its hub operation at Westside Industrial Park in West Jacksonville.