The Ninigret Group announced that Great Falls, Montana-based Pacific Steel & Recycling has purchased 12 acres at the Ninigret North Business Park in Syracuse, Utah to construct a 100,000-square-foot, state-of-the-art, rail-served facility to house the latest steel processing technology. Separately, Industrial Piping & Welding LLC (IPW), a manufacturing and welding company, purchased six acres adjacent to Pacific Steel’s parcel to construct its new process building and corporate headquarters.
Pacific Steel & Recycling VP of Steel Operations Ed Joyce noted that Utah’s strong rail system and manufacturing base were the reasons his company chose the site, which will feature a Red Bud coil leveler with “stretcher” technology, a steel processing machine not currently found in the marketplace. The 100 percent employee-owned company, which operates 46 facilities across nine Western states and Canada, has tapped Salt Lake City-based The Boyer Company to oversee the project.
Ninigret North Business Park has direct access to Union Pacific Railroad, a connection that was built in 2013 when United States Cold Storage purchased 35 acres to build a 230,000-square-foot distribution and cold-storage facility.
“United States Cold Storage, in conjunction with Ninigret, extended the rail service into the park as an additional hedge against rising gas prices that might affect its shipping operations in the future,” The Ninigret Group's Gary McEntee said. “Rail service is a major attribute for companies seeking space in the Salt Lake City region.”
The Ninigret Group’s agreement with Pacific Steel & Recycling included the extension of United States Cold Storage’s rail line to the northern part of the business park, where the company will build a processing facility. Raw steel will be transported to the facility by train, while the processed product will be trucked out of the park. The building is currently in the permitting stage, and Pacific Steel & Recycling plans to begin operations there by Fall of 2016.
“Having a railway connection is a boon to any business park, especially as the Salt Lake City industrial market continues to tighten exponentially. Larger, developable sites—especially rail-served—are extremely difficult to find,” McEntee continued.