A sustainable building company finishing its “MegaFactory” in Patterson has started hiring. Palo Alto-based S²A Modular announced plans for its new manufacturing plant in Patterson earlier this year. Construction got started over the summer and now the company has begun its initial hiring phase, which consists of about 40…
State review is officially underway on a major energy-storage project near Rosamond that would use compressed air, thermal engineering and hydrostatic force to even out delivery of renewable power and make the state’s electrical grid more resilient. At a cost estimated at $975 million, the 500-megawatt, 4,000-megawatt-hour proposal would take electrons from renewable energy sources nearby to power air compression and underwater injection. When energy is needed later, air would be released upward to run a turbine generator. Heat would be removed early then returned later in the process.
Gem is slated to open in early 2026 after a four-year construction period, and thereafter generate property tax revenues and $500 million in regional economic benefits over its 50-year lifespan. The project has a little longer discharge capacity than a similar energy-storage proposal in San Luis Obispo that Hydrostor recently brought before the energy commission.
Experts largely see Fresno County reaping the benefits of what the deadly virus changed culturally. Remote work, a dire need for housing and the demand for warehouse space have sent millions of dollars to area. But rising entitlement costs and dwindling development space have tempered the potential for growth. Industrial real estate has been the largest benefactor of stay-at-home orders with warehouses hiring thousands of people in Fresno and Visalia. But in both cities, available shovel-ready land has largely been exhausted. “Fresno County has been the center for people from all over the state and all over the country looking at expanding or for a new place to move,” said Lee Ann Eager, CEO of the Fresno County Economic Development Corporation.
Industrial brokers often tell Eager Fresno has become a hot market. But with vacancy rates at .02%, there isn’t much available. New construction sites have nearly been exhausted. Earlier this year the EDC spoke with a company that wanted to bring a 1 million square-foot warehouse to the area and 2,500 jobs. Eager had to say no because she estimated the process would take three years whereas they wanted to be up and running in 18 months.
A land-use study by Fresno County officials for 3,000 acres in Southeast Fresno will hopefully go before the board in January 2022 for approval to begin an environmental impact review so the county can begin installing infrastructure on the land, speeding up development times for businesses looking to locate here. Among five sections of land, Eager estimates there are about 20 landowners each the County would have to negotiate with to secure land. Unlike high-speed rail, Eager said the County will not use eminent domain.
Additionally, they have been begun talking with the San Joaquin Valley Air Pollution Control District to explore pollution impacts to the area. Industrial development has been a hot button issue after community members worked for years to get regional specific plans approved with the City of Fresno. An Amazon sorting facility set to open in the beginning of the year at North Pointe Business Park was only approved after it reached an agreement with community organizations to upgrade streets and outfit homes to better withstand sound and pollution impacts from trucks.
Community members in Southwest Fresno have often expressed their desire for more retail businesses rather than industrial development at community meetings and Planning Commission meetings. Eager said retailers have their own metrics about population densities as well as area median incomes before locating. Nonetheless, initial plans for the 3,000 acres would put retail zoning around the perimeter to create a buffer zone for communities such as Malaga. It’s not just been industrial development that has been hot in Fresno. Eager has been working with partners in Los Angeles and the Bay Area, courting service-type businesses to expand to Fresno County. Unlike industrial land, there is office space available. The most recent industry report from Newmark Pearson Commercial in Q4 2020 has office vacancies at 10.4% with a 12-month forecast for that number to rise.
New construction for office space is beset by lenders waiting to see what the future of the service industry has in store. The same can be said for most retail, said Alan Rurik and Tom Walker, partners with Capitalize, a commercial lending broker in Fresno. Companies such as Adobe, Amazon and Apple have all made announcements that workers would continue to work from home. This has spurred lenders to scrutinize when providing loans for new construction, said Rurik. “It’s not an immediate ‘no’ if you bring in a retail center, but it’s kind of getting back to blocking and tackling, It’s like — what’s the tenant mix, what’s the location?” Walker said. “If you can’t check the boxes, you don’t have the minimum requirements then you’re probably going to have a really difficult time getting a loan in today’s environment.”
https://thebusinessjournal.com/fresno-county-economic-forecast-is-a-wet-blanket-on-the-horizon/
The facility housing a Fresno manufacturing company has joined the portfolio of a local development firm. Fresno-based Cook Land Co. (CLC) has announced the purchase of the LAKOS Filtration Systems manufacturing facility for $6.9 million. Located at 1365 N. Clovis Ave. in Fresno, the 93,000 square foot facility was built in 1972 by local entrepreneur Claude Laval.
This purchase is one in a series of recent acquisitions for the real estate development and management company, which has been in businesses in the Central Valley for nearly 70 years. The facility will remain headquarters for LAKOS with Cook Land Co. owning and managing the property. “We identified the LAKOS property as a great strategic addition in our commercial real estate portfolio, furthering our commitment to invest locally right here in the Central Valley,” said Todd Cook, partner at Cook Land Co. LAKOS has leased 78,000 square feet back from Cook Land Co., and an additional 15,000 square feet has been leased to Performance Contracting Inc., a Fresno construction company in business for more than 60 years.
https://thebusinessjournal.com/fresno-manufacturing-facility-purchased-for-6-9m/
Chowchilla is slated to host a new distribution center for AutoZone, Inc., bringing with it hundreds of new jobs to the city, the company announced Thursday. Construction isn’t scheduled to start until summer of 2022. But when it does, more than 280 new jobs in the Madera County region will follow, according to an AutoZone news release. “We are very excited for this new development and what it means for the City of Chowchilla and the people who live here,” said Chowchilla Mayor John Chavez in a city news release. “We needed a way to create new jobs for the community, so they do not have to commute outside our city for work, and they can spend more time with their families.”
A capital investment of approximately $150 million is earmarked for the project. The distribution center is expected to open in Chowchilla in 2024, the AutoZone release said. According to AutoZone, construction on the distribution center is anticipated to begin in the summer of 2022 for a projected opening in 2024. “We are thankful and applaud AutoZone for recognizing Chowchilla’s potential with a large development such as this one; it is a welcomed addition to our community,” said City of Chowchilla Administrator Rod Pruett in the city release.
AutoZone currently has over 640 stores across California. The company operates over 6,000 stores nationwide and more than 600 in Mexico, as well as over 50 in Brazil, according to the release, making it the leading retailer and distributor of automotive replacement parts and accessories in the Americas. “During our process to identify our next distribution center location, Chowchilla’s leadership team has been amazing and has helped solidify our decision to come to and be an integral part of this great community,” said Bill Rhodes, Chairman, President, and CEO of AutoZone. “Our significant investment in Chowchilla represents our commitment to always putting our customers first and is an important part of our strategy for accelerated growth.”
The economic whiplash of the nearly two years of a global health crisis has exposed a well-reported labor shortage, supply chain issues and inflation. In Tulare County, industrial growth is keeping things steady. Tulare County Economic Development Corporation CEO Nathan Ahle says the spotlight is on the Visalia Industrial Park. Tulare County continues to see much industrial growth, including the recently opened Amazon warehouse and an Ace Hardware logistics facility, which was announced recently. Ace Hardware is 1 million square feet and is set to provide 400 jobs.
The industrial park is master planned to serve many years of growth, Ahle said. Interest in the area continues to gain traction. “Land is going quickly and projects are getting built and spec buildings are being built, or they’re being built to suit. And we’re seeing a lot of demand in that area for sure,” Ahle said. The City of Porterville is also poised for growth, he said. It shows promise, especially because it’s had one of the most heavily trafficked Walmart distribution centers in the country for decades. “Cities that may not be on the 99 but certainly have that potential would be right there in Porterville,” Ahle said.
The City of Tulare will also see significant development over the next three to five years surrounding the International Agri-Center. There will be a new interchange off of Highway 99.
Car parts retailer AutoZone is the latest company to secure a distribution home in the Central Valley. The Tennessee-based company with more than 6,000 stores in the U.S. — 640 in California — announced Thursday afternoon its plans to build a $150 million distribution center in the Madera County town of Chowchilla. Construction would begin this coming summer with a targeted opening in 2024.
The distribution center would create at least 280 news jobs, according to an Auto Zone news release. It would occupy in phases 750,000 square feet of warehouse space in the Chowchilla Industrial Park with close access to Highway 99. Referred to as “Project Sunset” by city planners, the distribution center has been about a year and a half in the making, said Bobby Kahn, executive director of the Madera County Economic Development Commission.
The Auto Zone announcement was actually first made at the State of the County Luncheon in Madera hosted by the EDC Thursday afternoon. “There’s no better way to close an economic development event than with a major project announcement,” Kahn said. “The timing was remarkable.”
The U.S. Department of Transportation (USDOT) has awarded a $24 million grant to the California High-Speed Rail Authority (Authority) which will be used to advance the nation’s first high-speed rail system while enhancing and better connecting the community of Wasco (Kern County).
Authority CEO, Brian Kelly, said: “High-speed rail is about connecting Californians and our diverse communities. As we build this transformative system, we continue to work and collaborate with communities throughout the state to create jobs, spur economic development, and improve quality of life.”
The RAISE grant stands for Rebuilding American Infrastructure with Sustainability and Equity, which the work enabled by this funding exemplifies. The Authority will use the $24 million for crucial safety, efficiency, and construction projects in and around Wasco, including:
“The City of Wasco is very pleased with the announcement,” said City Manager, Scott Hurlbert. “It’s a great example of multi-agency teamwork and recognition of significant local needs. This funding will resolve a tremendous financial burden for the City and help us move our community forward with confidence.”
Taken together, this grant will help to bring improvement, safety, environmental justice, and economic development to a historically disadvantaged community. In the north and south of Wasco, the Authority has 119 miles under construction with 35 active construction sites in the Central Valley. To date, more than 6,000 construction jobs have been created since the start of construction.
Two months into her apprenticeship with Bitwise Industries, Emelia Guaderrama already has her sights set on continuing her career with the company. Guadarrama says, “I was doing this just to kind of dip my toes in coding, learn how to make a website and just to see if I would like it. I fell in love with it.” The Fresno native says prior to Bitwise launching in Fresno, entering the tech industry didn’t seem like a possibility. “Having that in our Community and Fresno. Not only that, but them wanting to bring in the community and be like, ‘You belong here. We will help you.’ You feel like you belong in this industry,” Guaderrama said.
The now nationally registered apprenticeship program boasts opportunities to work on real projects under the supervision of seasoned tech leads while getting paid. Most importantly, it brings a sense of community to those looking to get into the field. It’s something she was able to discuss while in Washington DC as they made it official. Emilia says, “There are so many people out there who are just ready and willing to help you. It’s wonderful. I love it, it’s such a fostering environment.” In 2021, the US Department of Labor passed $3.5 billion in funding for apprenticeship programs across the country.
https://abc30.com/bitwise-apprentice-industries-apprenticeship/11265655/
The push to develop new products in the nation’s leading dairy state is also the impetus behind a new, three-year $1.8 million grant from the U.S. Department of Agriculture Agricultural Marketing Service aimed at dairy business innovation. Graduate student Daniel Olmos is channeling his love of science and food to integrate two of his favorite campus farm products into his graduate research project.
Working with food science and nutrition faculty Dr. Carmen Licon Cano, the Fresno-native Olmos is creating a new, wine-infused cheese product that he hopes to produce at the campus creamery for the Gibson Farm Market, and later potentially on a larger scale. “When you try to produce cheese and wine, there is a fair bit of chemistry and microbiology to consider,” Olmos said. “An infused cheese like this is an artisanal product that you might see produced in Spain or other parts of the world, so it’s exciting to consider its potential here. Dairy products are exciting to work with since they’re very functional, nutritious and delicious.”
Licon will work with Dr. Susan Pheasant, director of the Institute for Food and Agriculture at Fresno State, to coordinate a program that will position students, faculty, staff and campus facilities to support industry partners in California, Oregon and Washington to launch a newly-created Pacific Coast Coalition for dairy processors.