FedEx Ground to begin work on $40 million logistics facility in Jefferson County

FedEx Ground will build a $40.6 million facility in Jefferson County that could create 285 full-time and part-time jobs within three years of the project completion, the Birmingham Business Alliance (BBA) announced today.

The 300,000-square-foot FedEx Ground facility will stand on a 46-acre site off Lakeshore Parkway, which is a growing logistics and distribution corridor. The new building will be next to a Dollar General distribution center.

Construction on the facility is expected to begin around Sept. 1 and be completed in 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, BBA vice president of economic development.

“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 said.

The BBA worked with FedEx Ground to coordinate the incentives process and facilitate early-stage discussions around an intergovernmental agreement among Bessemer, Birmingham and Jefferson County.

The BBA was instrumental in bringing recent logistics and distribution operations to the Lakeshore corridor from other major companies such as  Amazon and Carvana.

FedEx Ground plans to build a $40 million logistics facility in Jefferson County that will create 285 jobs over three years. (contributed)


In July, the cities of Birmingham and Bessemer entered into the 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 owned by U.S. Steel Corp., and 94% of the facility will be in Birmingham, with the remaining 6% – including office operations, a parking lot and an access road – in Bessemer. Both cities are 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.

The FedEx logistics center will sit on the border of the cities and Birmingham and Bessemer in the growing Lakeshore Parkway distribution and logistics corridor. (contributed)

“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 the 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,” said Jefferson County Commission President Jimmie Stephens. “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.”

This story originally appeared on the Alabama Department of Commerce’s Made in Alabama website.

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