Procter & Gamble will open a new distribution center near Shippensburg, creating nearly 1,000 new jobs.
Procter & Gamble will open a new distribution center near Shippensburg, creating nearly 1,000 new jobs. The company was identified Thursday as the mystery tenant seeking to build a massive distribution center on Olde Scotland Road, Southampton Township (Franklin County).
Construction is expected to be finished by next summer. Once fully operational, the facility is expected to employ four to six Procter & Gamble employees and 900 to 1,000 contractors.
Procter & Gamble spokesman Jeff LeRoy said a contractor has not been chosen yet, so it is too early to say when hiring will start.
The contractor positions are expected to carry an average salary of $43,500 a year, according to a spokesman for the Department of Community and Economic Development.
"This is a pretty big deal, considering they're talking over 900 jobs. We already have a low unemployment rate compared to the rest of Pennsylvania," said Maria Misner, planning/GIS officer for Southampton Township. "It's definitely going to impact the area."
Misner said grading work has started at the site, but structural work has yet to begin.
Liberty Property Trust owns the 182-acre site near Exit 24 of Interstate 81 and will lease the building to Procter & Gamble.
The project is an investment of $93 million, according to Jeanne Leonard, vice president, corporate communications for Liberty Property Trust.
Conewago Enterprises of Hanover is the general contractor. Leonard said a total of 500 construction jobs are expected to be involved in the project.
The building, which will be LEED certified, would be about 1.7 million square feet - about the size of 31 football fields - and would easily be the largest distribution center in the region. At full employment, it would also be one of the largest employers in Franklin County.
Shippensburg Area School District, Southampton Township and Franklin County approved a property tax incentive for the project in the form of a Local Economic Revitalization
Tax Abatement Act zone.The state of Pennsylvania is also offering incentives, according to Steve Kratz, spokesman for the Department of Community and Economic Development.
The company was offered a $2 million Pennsylvania First Program grant for capital improvements. A $959,000 job creation tax credit was also offered to the third-party contractor that will be doing the hiring.
"Today's announcement is great news for Pennsylvania and Franklin County. Procter & Gamble's decision to create a new facility in the commonwealth will result in one of the largest job announcements so far in 2013," Gov. Tom Corbett said in a statement. "A warehouse and distribution center of this size is projected to create more than 960 new jobs and various construction positions over the next few years." A Fortune 500 company, Cincinnati-based Proctor & Gamble is the largest consumer packaged goods company in the world.
Some of the best known personal grooming and household care brands are Proctor & Gamble brands - Bounty, Crest, Tide, Duracell, Pampers, and Vicks, to name a few.
The distribution center will serve the mid-Atlantic market. LeRoy said the company chose the Southampton Township location because of the proximity to the interstate and major rail networks.
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Marcus Rauhut can be reached at mrauhut@publicopinionnews.com and 262-4752, or follow him on Twitter @MarcusRauhutPO.
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