FedEx Ground to open massive new distribution center
June 29, 2021
FedEx Ground will be the tenant in the latest large-scale building under construction at Foundation Park.
Dubbed “Project Puma,” the 330,000-square-foot building is owned by Indianapolis-based developer Scannell Properties and will replace a smaller existing FedEx Ground operation in Sioux Falls.
“We continue to experience a surge of package volume due to e-commerce growth and are optimizing the capacity of our network to meet growing demand for our services,” FedEx said in a statement.
“The site was chosen because of its ease of access to major highways, proximity to customers’ distribution centers and a strong local community workforce for recruiting employees.”
The current FedEx operation employs more than 100 full- and part-time employees. The new one is scheduled to be fully operational in 2024 and also employ a mix of full- and part-time employees. A job total will be announced closer to opening, FedEx said.
The project joins other major developments at Foundation Park, including the new Amazon fulfillment center opening next year and CJ Foods’ Asian food production facility opening in 2025.
“Certainly, it fits in with the purpose of the park; the park lends itself very well to the distribution facilities with two interstate systems, and I think they saw the opportunity to be at the intersection of two interstates and really liked that opportunity,” said Bob Mundt, CEO of the Sioux Falls Development Foundation.
There also continues to be interest from businesses in buying smaller properties. Muth Electric and Muth Technology recently closed on 7.2 acres for a new Sioux Falls location.
“Just the synergy and momentum we have out there is starting to get around,” Mundt said. “And we’ll have more people start to ask more and more about that. It’s exciting to see that park develop like the people who started it wanted it to.”
