Major distribution center planned for former Harley campus near York: Project could be completed by second half of 2016

A Kansas City-area development firm plans to build a 760,000 square-foot distribution center on the former Harley-Davidson west campus in Springettsbury Township.

The York County Industrial Development Authority, which owns the 58-acre site, has inked a deal to sell the property to NorthPoint Development, of Riverside, Mo., for $4.5 million, IDA Chairman Jack Kay said.

Kay expects the sale to close this summer or fall. The deal doesn't include Harley-Davidson's manufacturing plant and visitor center.

NorthPoint is no stranger to major industrial projects. The company owns or manages more than 2,000 apartments and more than 8 million square feet of commercial space, including logistics centers in Ohio, Tennessee and Missouri, according to the company's website. The Springettsbury Township project will be NorthPoint's first in southcentral Pennsylvania, said Nathaniel Hagedorn, the company's CEO and founder.

"We're really excited to be able to invest in York," Hagedorn said.

Once the sale closes, Hagedorn anticipates it would take six to nine months to obtain the necessary approvals from Springettsbury Township. Construction could begin in early 2016 and take about nine months to complete, meaning it could open in the third or fourth quarter of 2016, he said.

NorthPoint doesn't yet have a tenant lined up for the building, but that's not uncommon when it comes to such projects. Atlanta-based Ridgeline Property Group announced plans in March for a 423,300 square-foot logistics center on 51 acres in Springfield Township without having a tenant signed up.

Hagedorn said NorthPoint's project could bring up to several hundred jobs to the area. The exact number would depend on what the tenant or tenants plan for the building. He declined to say how much NorthPoint plans to spend on the project.

The distribution center would likely be leased by a single tenant but will be built so that it could to accommodate multiple tenants, Hagedorn said.

NorthPoint has been looking for land to build a distribution center in southcentral Pennsylvania for some time, Hagedorn said. The region has become a hub for such facilities because of its proximity to the Port of Baltimore, Interstate 83, the Pennsylvania Turnpike and other major highways.

Target Corp., the Minneapolis-based retail giant, announced plans in February to open an e-commerce fulfillment center in West Manchester Township.

As for the 58-acre site in Springettsbury Township, the IDA acquired the property several years ago for $500,000 with the help of a state grant, The property became available after Harley-Davidson consolidated its area manufacturing operations at its manufacturing facility slightly east on Route 30 in Springettsbury Township.

Source: YDR.com