‹ Back To Pilot Programs

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

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

Exel Inc. dba DHL Supply Chain 3

3299 Tchulatech, Memphis, TN 38118