FedEx Ground Regional Distribution Center Expands, Constructs $33 Million Facility in Pflugerville

Location at 130 Commerce Center in Pflugerville selected for its immediate highway access in one of the few communities with utilities in place along SH 130. 

PFLUGERVILLE, Texas—The Pflugerville Community Development Corporation (PCDC) today announced that FedEx Ground will expand its offices in Pflugerville with a relocation from a 50,000-square-foot building on Royston Lane to a $33 million, 250,000-square-foot building that will be constructed at 130 Commerce Center, a mixed-use development under construction at the southwest corner of SH 130 and Pecan Street. This expansion and consolidation of offices will make the new Pflugerville location the largest FedEx Ground facility in Central Texas.

FedEx Ground, whose customers are businesses that ship products to and from customers, employs 85 at its current Pflugerville location. The company plans to hire 25 to 35 additional part-timer workers at an average annual salary of $25,000, for a total of 120 drivers and warehouse employees working at this location within the next four years. Full-time employees earn a $40,000 average annual salary.

This location was selected because of its immediate access to SH 130 in Pflugerville.

“It is crucial to FedEx that their trucks carrying shipments are able to get out of Austin at 4 p.m. weekdays to deliver packages to businesses in Dallas and San Antonio, but the traffic on IH-35 in Austin at this time of day is at a standstill,” said PCDC Executive Director Floyd Akers. “The immediate access to SH 130 is key, and travel time for deliveries will be much improved with this new location at 130 Commerce Center in Pflugerville—one of the few communities with utilities in place along SH 130.”

Scannell Properties, which develops and owns many FedEx locations all over the U.S., closed March 4 on the 33-acre tract of land previously owned by the PCDC. Real estate broker Charles

Harvey with Don Quick and Associates, Inc. represented the PCDC on the deal. The PCDC cleared a net profit of $2 million on the sale of the land. No incentives were provided to FedEx or Scannell for the project other than the discounted land sale by the PCDC.

Projected property tax revenue to the City of Pflugerville for this project is $173,000 annually.

Scannell will oversee construction of the facility, then lease the entire building to FedEx Ground. Construction is expected to begin within 60 days and be complete by the middle of next year.

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About the Pflugerville Community Development Corporation

The Pflugerville Community Development Corporation promotes Pflugerville as a desirable place for new businesses to operate. The organization also supports existing businesses by helping to address their needs. PCDC can provide funding for use as an incentive to businesses to begin doing business in Pflugerville. PCDC funds, which are 4B money generated from a half- cent of the city’s sales tax revenue, can also be used to construct needed infrastructure such as roads, utilities and drainage projects. Located 16 miles northeast of Austin and just south of Round Rock, Pflugerville is well-situated in Central Texas. New state highways 45 and 130 and Interstate Highway 35 all offer direct access to other nearby cities and the region’s main airport. For more information, visit www.pfdevelopment.com.