January 2024 Starts Out Strong with 191 New Distribution and Supply Chain Planned Industrial Projects

SalesLeads is excited to announce the January 2024 results for the planned capital project spending report focused on the Distribution and Supply Chain industry. Our firm specializes in tracking North American planned industrial capital project activities, including facility expansions, new plant construction, and significant equipment modernization projects. For January 2024, our research identified 191 new projects within the Distribution and Supply Chain sector, slightly down from 204 in December 2023, yet still reflecting a strong start to the year.

The following are selected highlights on new Distribution Center and Warehouse construction news.

Distribution and Supply Chain - By Project Type

• Distribution/Fulfillment Centers: The industry saw 21 new projects in this category, emphasizing the continuous growth and demand for efficient distribution solutions across various regions.

• Industrial Warehouse: A significant 172 new projects were identified, underscoring the critical role of warehousing in supporting the supply chain infrastructure and catering to the expanding needs of various industries.

Distribution and Supply Chain - By Project Scope/Activity

• New Construction: January 2024 recorded 99 new construction projects, highlighting the sector’s ongoing expansion and the creation of new infrastructure to meet increasing demands.

• Expansion: There were 33 expansion projects, indicating companies are scaling their existing facilities to enhance capacity and operational efficiency.

• Renovations/Equipment Upgrades: The month saw 60 projects focused on renovations and equipment upgrades, reflecting the industry’s commitment to modernizing facilities for improved performance and sustainability.

• Closings: Seven projects involved facility closings, presenting potential opportunities for redevelopment and repurposing within the industry.

Distribution and Supply Chain - By Project Location (Top 5 States)

• Texas: Leading the count with 20 new projects, Texas continues to be a key player in the distribution and supply chain sector, driven by its strategic location and robust infrastructure.

• New York: With 16 new projects, New York remains a significant hub for distribution and supply chain activities, catering to both domestic and international markets.

• Florida: The state recorded 15 new projects, highlighting its growing importance as a logistics and distribution center in the Southeast region.

• Wisconsin: Wisconsin identified 11 new projects, reflecting its emerging role in the supply chain sector, particularly in manufacturing and logistics.

• Michigan: Michigan saw 10 new projects, emphasizing the state’s strategic position in the supply chain, particularly in the automotive and manufacturing sectors.

Largest Planned Project

In January, our research team identified six new Distribution and Supply Chain facility construction projects with an estimated value of $100 million or more. The largest project is led by Pathways Alliance, which is planning a massive $17 billion investment for constructing a carbon capture and storage facility in Wood Buffalo, AB. This project is currently in the approval-seeking phase and represents a significant investment in sustainable industrial infrastructure.

Top 10 Tracked Distribution and Supply Chain Project Opportunities

1. Massachusetts: An energy solutions company plans to invest $170 million in constructing a wind farm terminal and staging facility in Salem, MA. This project, currently seeking approval, is expected to start in 2024 and complete by 2026.

2. Wisconsin: A corrugated packaging product manufacturer is investing $140 million in constructing a 550,000 square foot manufacturing and warehouse facility in Pleasant Prairie, WI, with construction starting in Spring 2024.

3. Florida: A global retail chain is planning a two-phase construction of a 1.8 million square foot distribution center in Port St. Lucie, FL, relocating operations from West Palm Beach, FL, upon completion.

4. Iowa: A public transportation authority is investing $95 million in constructing a warehouse, office, and maintenance facility in Des Moines, IA. The project will proceed in three phases, with phase one expected to complete by 2026.

5. Ontario: A food processing company plans to invest $76 million in expanding and upgrading equipment at their grain terminal in Windsor, ON, with the project currently seeking approval.

6. Texas: A cold storage service provider is planning a $55 million investment for constructing a 305,000 square foot cold storage warehouse in Lockhart, TX, expected to be completed by Spring 2025.

7. Virginia: A logistics service provider is planning a $50 million renovation and equipment upgrade on a recently acquired 254,000 square foot warehouse facility in Roanoke, VA, with completion slated for early 2025.

8. Michigan: A global retail chain is investing $42 million in constructing a 158,000 square foot warehouse facility in Flint, MI, with construction expected to start in Spring 2024 and complete by late 2024.

9. Texas: A commercial airline is planning a $38 million renovation and equipment upgrade on a 509,000 square foot distribution center in Humble, TX, with recent project approval.

10. California: A fertilizer manufacturer is planning a $30 million investment in constructing a warehouse and processing facility in Santa Paula, CA, with the project currently seeking approval.

About Industrial SalesLeads, Inc.

Since 1959, Industrial SalesLeads, based in Jacksonville, FL, has been a leader in delivering industrial capital project intelligence and prospecting services. Our services ensure a predictable and scalable pipeline for sales and marketing teams. Our Industrial Market Intelligence identifies timely insights on companies planning significant capital investments such as new construction, expansion, relocation, equipment modernization, and plant closings in industrial facilities. The Outsourced Prospecting Services, an extension to your sales team, is designed to drive growth with qualified meetings and appointments for your internal sales team.

Each month, our team provides hundreds of industrial reports within a variety of industries, including:

• Industrial Manufacturing
• Plastics
• Food and Beverage
• Metals
• Power Generation
• Pulp Paper and Wood
• Oil and Gas
• Mining and Aggregates
• Chemical
• Research and Development
• Distribution and Supply Chain
• Pipelines
• Pharmaceutical
• Industrial Buildings
• Waste Water Treatment
• Data Centers

Conclusion

The Distribution and Supply Chain sector showed strong momentum as January 2024 kicked off, with 191 new projects, signaling ongoing growth and investment across North America. This report offers valuable insights for stakeholders looking to capitalize on these opportunities for lead generation, business development, and strategic planning. SalesLeads remains committed to providing timely updates and detailed reports on industrial activities across North America, ensuring our clients stay ahead in a competitive market.