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Exel Inc. dba DHL Supply Chain 3
Project Number: 20210906
Pilot Type: Jobs
Status: Approved
Parcel ID: 094100 00318
County Commission District: 11 | City Council District: 03, 08
Pilot Type: Jobs
Status: Approved
Parcel ID: 094100 00318
County Commission District: 11 | City Council District: 03, 08
Summary
Exel Inc. d/b/a DHL Supply Chain (USA) was approved for a 5-year Jobs PILOT to encourage the company to create 75 new jobs with an average wage of $43,679 and invest $7,076,368 to launch a new life sciences and healthcare distribution facility in Memphis.Total investment includes $3,280,378 to complete buildout of the facility and $3,795,990 for Furniture, Fixtures and Equipment. Community Reinvestment Credit has been requested and will be awarded.
3299 Tchulatech (Parcel 094100 00318) is 22.03 acres of land valued at $768,700 and contains a 273,000 square foot partially constructed shell warehouse valued at $5,725,231 based on building permits.
DHL will occupy 169,260 square feet of the building or 62%. Real property improvements made by the company will receive PILOT benefit on a proportional basis and new personal property will receive PILOT benefit.
DHL Supply Chain is the world’s largest contract logistics specialist, creating a competitive advantage through customized logistics solutions based on globally standardized warehousing, transportation and integrated service. DHL Supply Chain is a wholly owned entity of Deutsche Post DHL, an international company with revenues of more than $75 Billion, approximately 550,000 employees with operations in over 220 countries worldwide.
DHL has been evaluating locations in Tennessee, Kentucky and Georgia for this Project. The company believes a five-year PILOT to be a critical factor in pricing the services offered and deciding to move this operation to Memphis.
This is the fifth project for DHL in Memphis since 2019. Today DHL Supply Chain employs approximately 2,300 people in the City of Memphis with a payroll of $97.5 million.
PILOT Term:
5 years
Projected New Jobs:
75
Projected Retained Jobs:
Not applicable
Total Jobs:
75
Projected Average Payroll of New Jobs:
$43,679
Projected Average Payroll of Retained Jobs:
Not applicable
Annual New Direct Payroll:
$3,275,925
Annual Retained Direct Payroll:
Not applicable
Total Capital Investment:
$7,076,368
Real Property Investment:
$3,280,378
Personal Property Investment:
$3,795,990
Community Reinvestment Credit (CRC):
Not applicable
Capital Investment not in PILOT:
Not applicable
Projected Tax Revenue:
$1,970,281
Projected Taxes Abated:
$796,820
City:
$350,713
County:
$446,107
Benefit/Cost Ratio:
2.47
Projected MWBE/LOSB Spending:
$939,618
Incentive Provided:
$796,820
Compliance Information
Not applicable
Approved
9/15/2021
Ramp up Period
Not applicable
Closing
Not applicable
Effective
Not applicable
Lease Begins
Not applicable
Lease Expires
Not applicable
Amended
Not applicable
Property Details
Lease Began
Not applicable
Lease Expires
Not applicable