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United Parcel Service, Inc.

Project Number: 20131101
Pilot Type: Standard/Basic
Status: Approved
Parcel ID: 06017600009C
County Commission District: 11 | City Council District: 3

Summary

United Parcel Service, Inc., was approved for an 11-year real property PILOT to enable the company to add 15 new jobs and invest $80 million in an expansion of its 3675 Swinnea Road facility.

UPS plans to grow its 293,345 sq. ft. Swinnea Road facility by 140,000 sq. ft. and add a 54,000-gallon natural gas fueling station that will support 59 new liquefied natural gas vehicles. The PILOT will only include the $26.9 million real property investment. The project will allow UPS to expand its capacity in Memphis and enable environmentally friendly vehicles to operate out of its Swinnea Road facility.

The project will create $9,791,148 in new tax revenue for Memphis and Shelby County, a benefit-cost ratio of $1.62 in new tax revenue to every $1.00 of taxes abated.

PILOT Term:

11

Projected New Jobs:

15

Projected Retained Jobs:

Not applicable

Total Jobs:

15

Projected Average Payroll of New Jobs:

$42,037

Projected Average Payroll of Retained Jobs:

Not applicable

Annual New Direct Payroll:

$630,555

Annual Retained Direct Payroll:

Not applicable

Total Capital Investment:

$80,408,629
Real Property Investment:
$26,948,750

Personal Property Investment:
$53,459,879

Community Reinvestment Credit (CRC):
Not applicable

Capital Investment not in PILOT:
Not applicable

Projected Tax Revenue:

$9,791,148

Projected Taxes Abated:

$6,045,679
City: $2,641,962 (75%)
County: $3,403,717 (75%)

Benefit/Cost Ratio:

1.62

Projected MWBE/LOSB Spending:

$7,250,000

Incentive Provided:

$6,045,679

Compliance Information

Not applicable

Approved

11/20/2013

Ramp up Period

3

Closing

7/1/2014 (Real)

Effective

7/1/2014

Lease Begins

7/1/2014 (Real)

Lease Expires

7/1/2025 (Real)

Amended

Not applicable

Property Details

Lease Began

7/1/2014 (Real)

Lease Expires

7/1/2025 (Real)

United Parcel Service, Inc.

3675 New Swinnea Road, Memphis, TN 38118