$157M Roxul Facility to Be Built; 2M Sq. Ft. of Industrial Property Sold
- Jun 15, 2012
By Eliza Theiss, Associate Editor
Rockwool International has officially announced it will be expanding its North American operations and building its first Roxul Inc. manufacturing facility in the U.S. near Memphis. The location for the approximately $157 million plant has been identified as Marshall County, Miss.—31 miles from the city.
Roxul Inc. believes the chosen location will maintain the company’s forceful growth in key insulation markets, such as residential, commercial, flat-roof and industrial applications. “Roxul has continued to experience double-digit sales growth throughout North America, and the new facility will ensure we can meet our customers’ growing demands in North America,” said Trent Ogilvie, president of the company, in a press release.
Construction of the 600,000-square-foot facility is expected to begin later this year. The factory is expected to begin production in 2014 and is expected to create about 150 new jobs. It has been emphasized that the new U.S. plant will not affect the company’s other facilities in Milton, Ontario and Grand Forks, British Columbia, and both will remain fully operational.
Roxul is a subsidiary of Rockwool International, the world’s largest producer of stone wool insulation. Rockwool is a publicly held company, trading on the Copenhagen Stock Exchange. Rockwool operates 27 facilities in 16 countries and employs over 8,000 people worldwide.
In other news, San Francisco-based Prologis Inc.—a leading global owner, operator and developer of industrial real estate—has sold approximately 2 million square feet of industrial facilities in the Memphis market. Worth a combined $40 million, the 2 million-square-foot portfolio is made up of 10 separate buildings.
Regarding the decision to sell the properties, Thomas S. Olinger, chief financial officer at Prologis, said in press release: “The disposition of these assets is reflective of the strong demand for high-quality industrial real estate and is in keeping with our stated goal of realigning our portfolio.”
Prologis is focused on global and regional markets across the Americas, Europe and Asia and has owned or had investments in, on a consolidated basis or through joint ventures, properties and development projects totaling 548 million square feet in 22 countries.
For more market data from Memphis, click here.