Tax abatement approved for cold storage company Americold

Tax abatement approved for cold storage company Americold

Published on October 15, 2024

On Oct. 15, a tax abatement was approved by Fort Worth's city council to support the local expansion of Americold, one of the largest temperature-controlled warehousing and distribution providers in the world.

Americold currently employs 15,000 people and has 239 locations worldwide. Four of those locations are already in Fort Worth, along with single sites in Dallas, Grand Prairie and Mansfield.

The project is expected to generate more than $2.5 million in gross new net taxes for the City each year, essentially paying back the incentive in a little less than three and a half years.

Cold storage warehousing involves storing perishable or other sensitive goods like food, medicine or specialized products in climate-controlled environments. National trends, such as an increase in e-commerce and supply chain onshoring, have created increased demand for cold storage.

Fort Worth is currently underserved in cold storage facilities, which play a critical role in strong supply chains. Existing facilities in Fort Worth are at nearly 99% occupancy, which limits capacity for new clients, and no cold storage units were under construction in the city as of the fourth quarter of 2023.

Americold's expansion would not only provide additional cold storage bandwidth for companies on the western side of the DFW Metroplex, but it would also strengthen Fort Worth's logistics industry and healthcare industry, as medical professionals rely on cold storage to transport medication, equipment and other temperature-sensitive supplies.

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Tagged as:

• Business & Economy
• District 2