Utah Reels In $200M UPS Facility

By Barbra Murray, Contributing Editor

UPS Truck

Salt Lake City—Utah has landed a big commitment from UPS in the form of a new $200 million industrial facility. The Atlanta-based package delivery company, which has had an operational presence in the Beehive State for more than 40 years, will erect the regional package operations facility in Salt Lake City.

UPS had other options, of course, but local and state officials in Utah made the commitment worthwhile for the company. Utah’s Governor’s Office of Economic Development just signed off on an incentive package for the project, providing UPS with a post-performance tax credit rebate of nearly $4.8 million over an eight-year period. But that’s not all Utah and the city known as the “Crossroads of the West” brought to the table.

“Our state provides a hard-to-beat strategic location for serving the Western U.S.,” Val Hale, executive director of GOED, said in a prepared statement. “We have a thriving workforce, and UPS will benefit from choosing Utah for this expansion.” The UPS facility will create openings for roughly 195 high-paying positions over the next eight years, complementing the company’s existing 3,500-person employee base in package, heavy freight and contract logistics operations in the state. The new Salt Lake City center will bolster service to surrounding states.

UPS is spreading it around—in terms of logistics and property type. In late August, the company broke ground on a $300 million, 838,000-square-foot package facility in Louisville, Ky. And plans were revealed earlier this year for a 200,000-square-foot office property that will serve as its global technology development center in Parsippany, N.J.