Hoffberger Holdings, Inc. (HHI) said it has purchased land from Duke Realty Corporation (Duke) at the Chesapeake Commerce Center to build one of the most environmentally friendly perishable foods distribution centers in the country. The facility will be operated under the Merchants Terminal Corporation banner.
Harry Halpert, president of Merchants, said, “The location of the Chesapeake Commerce Center immediately adjacent to the Port of Baltimore’s Seagirt Marine Terminal was almost too good to be true. We will be able to offer our customers a location with comprehensive multi-modal transportation access through the east coast’s most inland port.”
The facility will exceed 12 million cubic feet and offer about 32,000 racked pallet positions. ARCO Design/Build of Atlanta has been contracted to design and construct Phase I of the facility, which encompasses 6.1 million cubic feet of temperature-controlled space complete with 16,300 specialized rack positions. Its location is enhanced by two entrances to I-95 within half a mile of the facility and adjacent rail service.
Halpert added, “These attributes will allow Merchants and our transportation affiliate, MLogistics, to effectively integrate international and domestic services in order to efficiently move product through the distribution center to timely serve markets – whether in the United States or abroad.”
Utilizing state-of-the-art “green” technology and construction materials, this facility be one of the most environmentally friendly distribution centers in the country, according to the company. It will feature a centrally controlled refrigeration system, extra insulation in the walls and roofing to retain cold, and a white roof to reflect solar energy. The roof is to be specially strengthened to accommodate solar panels, thus reducing dependence on electricity furnished by carbon-based energy sources.
Merchants will use computers to monitor and manage peak electrical use hours on the power grid, when electricity is typically augmented by carbon-based fuels. It will lower electrical consumption to modest levels allowing for high demand only when cleaner fuel sourcing is available.
Additionally, Merchants will use the RedPrairie RF based Warehouse Management System for efficient placement and retrieval of customer inventories stored in the customized racking system. Merchants’ customers will continue to use Merchants’ best in class web visibility solution, MVision™, for immediate visibility of inventory related information, the company said.
“We are particularly pleased with the assistance received from the Baltimore Development Corporation and the City of Baltimore. BDC’s understanding of the industrial landscape adjacent to the Port of Baltimore and their support of Merchants, the Port, and Duke in preparing the Chesapeake Commerce Center to support the growing demand of the Port’s public marine terminals is farsighted,” Halpert said.
Since acquiring the property in 2006, Duke has cleared and begun redevelopment of the largest industrial property in the Seagirt industrial zone of Baltimore City. This land sale is part of the Chesapeake Commerce Center master build out plan. Duke already has two distribution centers constructed totaling 460,000 square feet and has an additional 149 acres to develop. John Macsherry, vp, leasing and development in Duke’s Baltimore office said, “Duke purchased the former GM site in January 2006 with the goal of developing distribution buildings adjacent to the thriving Port of Baltimore. This land sale is further indication of the need for companies engaged in the logistics industry to be close to the port so that they may take advantage of Maryland’s superior transportation infrastructure and the port’s inland position in an era of rising fuel costs and forecasted truck driver shortages in the United States."
Merchants’ vp F. Brooks Royster III shall manage the construction of this new facility and international sales. Said Royster, “The strategic position within the Chesapeake Commerce Center which is immediately adjacent to the Seargirt Marine Terminal will allow us to continue to expand our international service offering. Our customers will reap the benefits of max container loading and expedited container turn times to one of the largest and most productive intermodal terminals in the region. This is an exciting time to be a part of the port community in Baltimore.”
HHI is a diversified privately held investment company of the Hoffberger family of Baltimore, Maryland. With the addition of this facility, Merchants will operate five distribution centers with 24 million cubic feet of refrigerated and frozen space, serving the ports of Baltimore, Philadelphia, and Wilmington.
For more info about Merchants Terminal Corporation, visit www.merchantsterminal.com, or contact Ernie Ferguson, vp of sales, at 540-992-2136, or info@merchantsterminal.com.
