$100M Distribution Facility Brings 1,500 New Jobs to Nashville
- Oct 09, 2014
By Eliza Theiss, Associate Editor
Nashville’s booming economy is set to receive a further injection of new jobs, thanks to Under Armour, Inc., a global originator of performance footwear, apparel and equipment. Under Armour recently announced plans to develop a one-million-square-foot warehouse and distribution facility in the Nashville MSA that will create 1,500 new jobs over the course of five years. The $100 million facility will be developed in Beckwith Farms in Mount Juliet, a suburb of Tennessee. The facility is expected to open in 2016.
“Under Armour’s decision to build a new distribution and warehousing facility in Mount Juliet is another example of the business-friendly climate our state offers to companies around the world, and it brings us one step closer toward our goal to make Tennessee the No. 1 location in the Southeast for high quality jobs,” Gov. Bill Haslam declared. “Tennessee’s advanced transportation and logistics infrastructure paired with the state’s superior workforce will certainly aid in Under Armour’s future success,” Economic and Community Development Commissioner Bill Hagerty added.
Under Armour operates two retail destinations in Tennessee, located in Nashville and Sevierville. The Mount Juliet distribution facility will be the company’s third in the US, after Baltimore, Maryland and Rialto, California.
Nashville’s industrial market is also on the upswing. According to Colliers International, Q3 brought a total net absorption of 1,146,129 square feet, bringing overall vacancies down to 7.5 percent, the lowest point since Q4 of 2008. The market’s overall rental rate clocks in at $3.40 per square-foot, with Class A rents reaching $3.60 per square-foot. The drop in vacancies, especially for large blocks of Class A industrial space, have led to a dynamic built-to-suit market. According to Colliers data, Nashville gained close to five million square feet of build-to-suit industrial facilities in the last 18 months.
Photo courtesy of Tennessee Governor’s Office
Chart courtesy of Colliers International