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Jax Daily Record Wednesday, Dec. 1, 202108:48 AM EST

UPS approved for $100 million conveyor system

The city issued a permit for the Westside Industrial Park parcel shipping ground hub expansion.

United Parcel Service is heading toward completing its at least $334 million package delivery hub renovation at Westside Industrial Park with approval Nov. 30 for a $100 million conveyor system installation.

The city issued a permit for MHS Company Inc. of Kentucky to install the conveyor system at the package company’s parcel shipping ground hub at 4420 Imeson Road.

When the permit application was filed, UPS issued a statement Aug. 20.

Spokesperson Christina Repassy, who is with Atlanta-based UPS in corporate communications, said by email Dec. 1 that UPS anticipates the Jacksonville hub modernization project will be completed by the end of the year

The application said it is for the third phase of the hub expansion at the Imeson Road hub. So far, permits indicate at least $311 million in expansion projects at the structure since 2017 for the first phases.

MHS Company Inc. of Kentucky, also known as Material Handling Systems Inc., is the contractor for the conveyor system. Storage Rack Engineering Inc. of Santa Margarita, California, is the engineer.

UPS has been expanding the hub and working toward an additional $138 million investment and 240 jobs that would add to the logistics, warehouse and distribution base.

In August 2020, City Council approved a Recapture Enhanced Value Grant of $6.8 million, based on 50% of the increase in real and personal property taxes generated at the project site for five years.

To receive the grant, UPS must make a private capital investment of at least $300 million and create at least 240 jobs by the end of 2024. The jobs would pay an average annual wage of $50,000 plus benefits.

A UPS summary from the city said the city approved a REV grant for UPS in 2017 for an expansion. That grant was related to a projected $196 million UPS investment in the shipping ground hub. 

The $196 million and $138 million expansions total an investment of $334 million

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