Netherlands-based NewCold plans $150M expansion in Lebanon
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Netherlands-based NewCold, an advanced cold storage logistics company, is planning a $150 million expansion of its 380,000-square-foot facility at Lebanon Business Park.
The expanded facility would be the largest automated cold storage building in the United States at 710,000 square feet, according to the company, which announced its expansion plan on Monday.
The company announced plans in 2020 to build a $150 million facility in Lebanon. The building became operational in fall 2022.
NewCold’s facility is equipped with state-of-the-art automated storage and retrieval systems to handle products in sub-zero temperature conditions.
“The expansion of NewCold’s facility in Lebanon is a testament to our strong community and business environment,” Mayor Matt Gentry said in written remarks. “We are excited that NewCold continues to succeed and grow here.”
NewCold currently employs 140 people in Lebanon, according to Marvin Meintjies, the company’s corporate affairs manager.
The Indiana Economic Development Corp. committed $1.65 million in incentive-based tax credits based on NewCold’s plan to add up to 100 jobs by the end of 2028. The tax credits are performance-based and the company will be eligible to claim the incentives once people are hired.
The new employees are expected to be paid $36.30 per hour, according to an economic development agreement with Lebanon.
“We are thrilled that the company is significantly increasing its original investment just a few short months after launching operations in Indiana and are confident the state’s top-ranked business climate and skilled Hoosier workforce will continue to propel NewCold’s remarkable growth and success,” IEDC Chief Strategy Officer Ann Lanthrop said in written remarks.
The expansion project is under construction and it is expected to be completed by summer 2024.
Lebanon issued nearly $9 million in economic development revenue bonds in 2021 to support NewCold’s initial development and plans to issue another $12 million in bonds to support the expansion.
The 1,250-acre Lebanon Business Park is bounded by State Road 32 to the north, State Road 39 to the southwest and Interstate 65 to the east.
NewCold’s global logistics network includes 15 locations on three continents, with a total workforce of around 1,700 employees. The company has two other cold-storage facilities in the United States, one in Tacoma, Washington, and the other in Burley, Idaho.
The $90 million, 180,000-square-foot facility in Burley was completed in 2019 and has more than 100 employees. The 14-story facility used 25,000 tons of steel in construction.