FedEx is using new-bought industrial land for a distribution facility, according to Gary Mayor Eddie Melton in his State of the City address. Photo by FedEx.

News Release

GARY — A Gary real estate developer, which recently purchased prime industrial land from the city, says FedEx will use that location for a major distribution facility.

FedEx will operate in a 317,000-square-foot building near Gary-Chicago International Airport starting in April 2027.

Gary Mayor Eddie Melton announced the project in a city address this week, saying the Memphis-based shipping company would lease the site and bring in about 600 new jobs. 20% of them are residents of Gary.

The total cost of construction is estimated at about 60 million dollars.

Melton added that 20% of the contract work is going to minority-owned companies and 5% to women-owned companies. The mayor said construction should begin at the end of May.

A spokesperson said the facility has the capacity to sort 15,000 parcels per hour, and that the site was chosen for proximity to customer distribution centers, easy access to major highways and employee recruitment.

The town owned about 78 acres earlier this month until the Redevelopment Commission agreed to sell the land to SP TP Gary Development LLC for $4.7 million. SP TP has partnered with Transport Properties, based in Rosemont, Ill.

SP TP said at the time of the purchase that it planned to invest about $40 million to build a warehouse on the site. With FedEx’s announcement, the number of investments has increased.

The 6200 Industrial Highway site is directly in front of the airport, less than 5 minutes from Interstate 90 and US Highway 12.