Santee SC Commercial Developments

Aquatic, rec center coming to Santee

2012-01-23T07:30:00.000-08:00

By MARTHA ROSE BROWN, T&D Correspondent | Posted: Monday, January 23, 2012 5:15 am | (1) Comments

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T&D FILE PHOTO

The proposed Santee Recreation and Water Park will not be a duplication of the Orangeburg Aquatic Center, Orangeburg County Deputy Administrator Harold Young said at Wednesday's Santee Town Council meeting. The Santee facility will feature an aquatic center, basketball and tennis courts, baseball fields, a soccer field and pavilions.

SANTEE - Orangeburg County is moving forward with plans to build an aquatic park and recreation center near the Santee Conference Center on Bass Drive.

Plans for the Santee Recreation and Water Park were announced at a special called Santee Town Council meeting Wednesday night. At the meeting, the council unanimously approved second reading of an ordinance to sell 8.47 acres to the county for "$10 love and affection" for the new facility. The property is bordered by Bass Drive, Bonner Avenue and a small portion of Newton Road, and is categorized as "general commercial zoning." A residential zone is located behind it.

A public hearing on the project prior to second-reading approval of the ordinance did not generate any comments.

The property deed stipulates construction of the proposed recreation facility would begin by June 2014 or the land and the $10 would revert back to the Town of Santee.

Harold Young, county deputy administrator, said an aquatic center, basketball courts, tennis courts, baseball fields, a soccer field, recreational pavilions and ample parking are included in the overall master plan for the park.

County Councilman Johnnie Ravenell said the project will not only benefit Santee but the eastern end of the county as well.

He said development of the Recreation and Water Park will play an important role in attracting businesses, residents and visitors to the Santee area, which encompasses the Global Logistics Triangle at the intersections of U.S. 301 and Interstates 95 and 26.

Funding for the project is "tapped under the next round of Capital Project Sales Tax funds," also known as the penny sales tax, Young said. The next round of funding will be in 2013, he said. Young said the project is a joint effort of the county and the town.

While Young provided a conceptual drawing of the park, he cautioned that "it may change many times before the project happens."

He also noted the project "will not occur overnight," pointing out construction of the Orangeburg County Aquatic Center took nearly two years to complete. While the YMCA staffs and manages the center in Orangeburg, Young said he could not yet confirm if the YMCA would be involved at the Santee facility.

Former Santee mayor Silas Seabrooks asked about the possibility of the municipalities securing or borrowing funding so construction could begin sooner.

Young said County Councilmen Johnny Ravenell and Johnnie Wright had some funds for recreation they were willing to provide to try to start some of the architectural and engineering work so the groundwork could begin "sometime soon."

"It's a complicated process because ... this is just a picture ... there are volumes of features that have to be looked at and gone through. They'll have to do a study to figure out volume ... average daily users," Young said.

The aquatic center in Santee would "not be a duplication" of what's already in Orangeburg, he said, noting, "We want to give you something different."

Throughout the planning process, there will be public readings and hearings on contracts so citizens can also be involved, Young said.

Santee Mayor Donnie Hilliard said he and town officials were looking forward to working with the county on the project, and he thanked the county officials for their time and effort.

Also during the meeting, a public hearing was held on the proposed ordinance to amend the town's water purchase agreement with the Lake Marion Regional Water Agency. No comments were made, and the council approved second and final reading of the ordinance.

Under the amended ordinance, the LMRWA will no longer have exclusive rights to revenues generated through the town's sale of water.

Hilliard, prior to first reading of the ordinance at council's regular January meeting, told town officials, "In the agreement you originally signed, you state that all revenues that would be derived from the sale of water by the town was subject to the auspices of control by the Lake Marion Regional Water Agency, meaning that if the town would ever have a need to borrow some funds, they could not place the revenues towards the payback of the loan because the Lake Marion Regional Water Agency had first rights to those funds."

He noted at that meeting that Santee will be "in the market for borrowing money for our water/wastewater system (upgrades)" and that the "bonding agency will not make (funds) available to us" without the town being able to pledge water revenues as payback of the loan.

In other business, Bob Faulkner, auditor with the firm of Faulkner and Thompson, presented the town's 2010-2011 fiscal year audit.

He praised the town for a "successful audit" and said the town received a "clean" opinion.

Faulkner said the books and records were in good shape and his firm received cooperation the town employees.

"We didn't find any major accounting issues ... and the town did a good job of being fiscally responsible," he said.

In addition, the auditor reported the town's internal control issues from previous audits had been "whittled down."

"There are a lot fewer comments on there today" than in previous years, Faulkner said.

He advised council to document the town's policies and procedures in a manual.

Also Wednesday, council went into closed, executive session to discuss a contractual matter but did not take any action.

Contact the writer:

marfawose@aol.com.

I-26 project meant to spur port-related business

2012-01-18T09:18:00.000-08:00

By Prentiss Findlay

pfindlay@postandcourier.com

Tuesday, January 17, 2012

Interstate 26 near Summerville will be widened and a new interchange built to spur port-related business that is expected to create more than 10,000 jobs, said state Rep. Chip Limehouse.

The State Infrastructure Bank board voted unanimously today to approve $15 million for the project to widen two miles of the interstate to six lanes up to Jedburg. A new interchange will be built at Sheep Island Road for port shipper business, said Limehouse, R-Charleston and a member of the board.

"This is going to provide much-needed jobs for a Lowcountry that is struggling out of a recession," he said.

The effort will mean an estimated 14,000 port warehouse distribution jobs for Berkeley, Charleston, Dorchester and Orangeburg counties. "This is really big for the Port of Charleston," Limehouse said.

He said at least two large distribution centers and two hotels will be built as a result of the interstate improvements.

"This is really big news. It's a great economic development opportunity," said state Sen. Paul Campbell, R-Berkeley.

The SIB and other state agencies are partners in the effort, he said.

SPA spokeswoman Allison Skipper said the highway improvements would be a great benefit to the port and complement its $1.3 billion in capital improvements during the next 10 years.

Distributions centers are places to pack and unload shipping containers that travel through the port. Skipper said the stretch of I-26 that will be widened could be transformed into a hub of private distribution.

The SPA has committed $8 million to the effort, she said.

Limehouse said I-26 needs to be a six-lane road all the way to I-95. He also said it is critical that Charleston Harbor be deepened in a timely manner.

I-95/US 301 is getting funding!!!!!!

2011-12-12T16:27:00.000-08:00

This grant award added to $14.9 million previously secured by Congressman Clyburn, and $3 million and $1 million contributed by the State and Orangeburg County respectively, will be enough to complete this $26 million phase of the I-95/U.S. Highway 301 improvement project. This project is crucial to the full utilization of the Jafza center, which is located in the Global Logistics Triangle bounded by I-95, Highway 301, and S.C. Highway 6.

"Today's TIGER grant is an early Christmas present for the State of South Carolina," Congressman Clyburn said. "This project will make a Continental Tire or Boeing aircraft type project possible for Orangeburg County and the I-95 corridor."

According to Orangeburg County's TIGER grant application, Jafza "center operators expect the full distribution center to generate more than 6,000 jobs regionally in an area which is, and has been for decades, one of the nation's most economically disadvantaged."

The center, when completed, will receive offloaded cargo from the Charleston and Savannah ports by train and trucks for distribution to its final destination.

"Orangeburg County is thrilled with today's announcement of the TIGER grant to enhance the I-95/US 301 interchange that will create an opportunity for significant economic development along an economically challenged area on the I-95 corridor," said Bill Clark, Orangeburg County Administrator. "I would like to thank Congressman James Clyburn, along with Senator Lindsey Graham and the other members of our Congressional Delegation for their work in assisting our local officials in making improvements to the needed infrastructure that will lead to job creation for the citizens in our County."

"This is a project I have been working on for more than a decade, and it is exciting to see it come together at a time when our rural communities along the I-95 corridor have been hit so hard by the economic downturn," Congressman Clyburn continued. "Today is truly a great day in Orangeburg County."

In addition to the long-term impact on the local economy, the construction of the access ramp and 301 extension is estimated to create 404 jobs from 2012 to 2016. Most of those jobs are expected to be created in Orangeburg County, which ranks eighth among the nation's poorest counties with a population greater than 65,000 based on 2008 data.

From the Times and Democrat.

Sumter get Continental Tire Plant

2011-10-12T11:58:00.001-07:00

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Logistics key to Continental decision to build in S.C.

By Chuck Crumbo
ccrumbo@scbiznews.com
Published Oct. 12, 2011

SUMTER -- Continental Tire’s plans to build a new plant in Sumter County have been hailed as proof that the Obama administration’s decision to crack down on imports of subsidized tires from China is working.

In September of 2009, the government launched a three-year plan to impose tariffs on Chinese tires — which were priced at least 25% less than tires made in the United States — to bolster the U.S. industry and spur job growth.

Commerce Secretary Bobby Hitt speaks during the announcement about Continental Tire’s plans to open a manufacturing plant in Sumter County. (Photo/Jim Hammond)

When Continental Tire the Americas, which is based in Fort Mill, said in April it planned to build a new plant somewhere in the United States, theAlliance for American Manufacturing cheered the announcement and said “enforcing U.S. trade law works.”

But as far as Nikolai Setzer is concerned, tariffs had nothing to do with Continental’s plans to build a $500 million manufacturing facility in the Palmetto State.

“We have such a strong demand for our tires that it makes it necessary for us to increase our U.S. operations next year independent of external forces,” said Setzer, a member of Conti’s executive board and chief of the company’s global tire business about the tariffs policy on Chinese tires. Continental Tire is a subsidiary of Continental AG in Hanover, Germany.

Following last Thursday’s announcement at the Sumter Opera House, Setzer repeatedly stressed logistics was key to the company’s decision.

“It’s not driven by the outside environment,” Setzer said of the decision to build a plant that eventually will employ 1,600 workers. “It’s driven by our important KPIs (key performance indicators), which must be fulfilled.”

“We need a good logistics setup. Logistics are important for tires. We are close to a harbor here,” Setzer said, referring to the Port of Charleston.

The port, which is less than 100 miles from Sumter, is important to the tire industry because most raw materials used to make tires — like rubber and carbon black — are imported.

The port also is essential to exporting products, although Setzer said tires made in Sumter are expected to be used for consumption in North America.

According to the International Trade Administration of the U.S. Commerce Department, South Carolina exported $2 billion worth of rubber and plastic products in 2010.

Other advantages the state has logistically is its location between New York and Miami, its interstate highway system that connects the state to major cities along the Eastern Seaboard, and railroads.

“We have lots of customers on the East Coast,” Setzer said, adding that the plant will be supplying tires to automakers in the United States. “And we have suppliers close. It’s a great advantage for us to be close.”

South Carolina, which already is the No. 3 tire manufacturing state, could vault to first place by the time Continental’s facility is up and running in 2017.

Continental’s project, along with the $1.2 billion expansion of Bridgestone’s manufacturing facilities in Aiken County, and Michelin’s $200 million investment in its Lexington plant, will increase the state’s daily production capacity by 50% to 120,000 tires from the current figure of 80,000, according to statistics compiled by Tire Business, a trade publication for tire dealers.

As the state’s tire business grows, more suppliers and vendors are likely to follow.

For example, the same day Continental was making headlines in Sumter, DuPont announced the startup of a $500 million Kevlar manufacturing facility in Berkeley County near Charleston.

While Kevlar fiber is best known as the material that goes into making lightweight, bullet-proof armor for law enforcement officers, it also is being used to manufacture tires. According to DuPont, Kevlar was used in 1 billion tires that went to the automotive and aerospace industries in 2010.

DuPont could be an example of more investment and jobs that are likely to follow this year’s $2 billion worth of announcements by Continental, Bridgestone and Michelin.

“It’ll be interesting to watch how fast the supplier industry starts migrating toward South Carolina, further anchoring the state at the top of the manufacturing ledger,” Tire Business said an editorial in Monday’s edition.

Eastern Orangeburg County Sustainability Study

2011-02-08T07:23:00.000-08:00

I just had a chance to meet Mr. Roger Waldon of Clarion Associates. His company is conducting a study of our area and the impact the Global Logistics Triangle and Jafza will have on our communities.

Please visit www.eastorangeburgcountyfuture.com and get involved in this study. You can help shape the future of our community in Eastern Orangeburg County.

Ron

Columbia Under Construction: Winter 2010 edition

2010-12-20T12:49:00.000-08:00

Columbia Regional Business Report

Jafza Santee Training Center
721 Hannah Drive – Santee
This 16,000-square-foot, multitenant building consists of 12,000 square feet of industrial
space and 4,000 square feet of office and conference space. The building is designed for
approximately 6,000 square feet of expansion. All the industrial units for lease have frontage
on Interstate 95.
Developer: Jafza South Carolina, Charleston
Architect: MV Design/Build, Columbia
General contractor: Miller-Valentine Construction, Columbia
Engineer: MV Design/Build, Columbia
Estimated completion date: March 2011

Build it and they will come!

2010-11-24T10:54:00.000-08:00

Jafza's first building is out of the ground. I will post updated photos every couple of weeks.

Prep work begins on construction of first building at Jafza

2010-10-15T09:04:00.000-07:00

By MARTHA ROSE BROWN, T&D Correspondent | Posted: Friday, October 15, 2010 5:18 am | (2) Comments

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T&D CORRESPONDENT/MARTHA ROSE BROWNCrews with Porth Contracting Co., the Miller Valentine Group and Tri-County Electric Cooperative work together Thursday prepping the five-acre site for Jafza’s first commercial building at its Santee location.

SANTEE - Preliminary work is under way on a 16,000-square-foot building at Jafza South Carolina LLC's 1,322-acre park near Santee.

Jafza plans to develop a logistics, manufacturing and distribution park at the site.

Phase 1 of the Jafza park consists of 47 acres on the west side of Interstate 95, next to the Santee Town Hall, and 76 acres on the east side of I-95, behind the Santee Outlet Mall.

To help create a "flagship building" for the project, Orangeburg County and Tri-County Electric Cooperative worked together to get Jafza a no-interest federal loan for the construction of the "Jafza Enterprise Center" on five acres bordering I-95.

As many as three tenants are expected to occupy the building, Drue Fitzgerald, Jafza USA business manager, said Thursday.

"We're excited," Fitzerald said.

However, he said he could not disclose the names of the potential tenants because formal contracts had not yet been signed.

Crews first arrived at the site on Oct. 7 to begin the prep work, said contractor John Porth of the St. Matthews-based Porth Contracting Company Inc.

Porth said his company is responsible for all clearing, grading, paving and utilities at the site.

On Thursday morning, crews from Porth Contracting; the Miller Valentine Group, a commercial real estate general contracting company and Tri-County Electric Cooperative were busy digging footers in preparation for pouring the building's concrete foundation, said Jim Tuttle, an employee of the Miller Valentine Group.

Gregg Robinson, executive director of the Orangeburg County Economic Development Commission, described the building as "flexible" in that it will "allow Jafza to customize and grow the building according to the client."

"We're very happy that Jafza feels confident with the (economic) market coming back," Robinson said. "This is a significant step in the right direction as we are coming out of a recession and posturing this area for growth.

"We're getting ourselves ready for new companies as well as expanding companies and port-related industry."

Contact the writer: marfawose@aol.com.

Jafza begins to build!

2010-10-11T08:41:00.000-07:00

You can see the equipment at work, if you drive along I95 between exit 97 and 99 and look to the west. Construction has finally begun on the Jafza's site. The first building is much smaller than initial plans of Jafza, but this is still an exciting event for Santee, South Carolina. the 24,000 sq.ft building is schedule to be completed by January 1, 2011. It is my understanding that Orangeburg County will be paving Hannah Drive in the next couple of months.

Jafza prepares for construction, seeks tenants

2010-09-27T07:16:00.000-07:00

By GENE ZALESKI, T&D Staff Writer | Posted: Sunday, September 26, 2010 3:08 am | (3) Comments

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ILLUSTRATION SPECIAL TO THE T&DCounty officials say the planned Jafza Enterprise Center will show the 1,322-acre logistics, manufacturing and distribution park is open for business.

As Jafza South Carolina LLC plans for the construction of a new building at its 1,322-acre park in Santee, officials say they're also preparing for bigger things to come.

Senior Vice President Clint Murphy says there's been considerable interest in the company's plans for a logistics, manufacturing and distribution park at the site.

"We have written numerous proposals for tenants to locate in our Phase 1," he said. "Several of these proposals are still active and we remain optimistic that we can sign an agreement in 2011."

Murphy said assuming an agreement is signed in 2011, a manufacturing facility typically takes a year to plan and construct.

Phase 1 of Jafza Magna park consists of 47 acres on the west side of Interstate 95, next to the Santee Town Hall, and 76 acres on the east side of I-95, behind the Santee Outlet Mall.

Jafza has met all the necessary regulatory requirements to begin development, including site certification, Murphy said.

To help create a "flagship building" for the project, Orangeburg County and Tri-County Electric Cooperative worked together get Jafza a no-interest federal loan for the construction of the "Jafza Enterprise Center" on 5 acres bordering interstate.

The 20,000-square-foot building will house Jafza offices, warehouse space and training facilities for Timmonsville-based Palmetto Training Inc. An estimated 10 to 15 people would be employed there.

Murphy said the company is looking to move its headquarters to the new building upon completion to better serve company clients and to have oversight of the project now that it is moving forward.

County officials say they expect the building to be a flagship, providing a visible indication that Jafza is open for business and committed to its plans for Orangeburg County.

Construction is expected to begin in October with a Jan. 1, 2011 opening.

Murphy declined to say how much it will cost to build the center.

"We don't discuss price," he said. "We won't know until bids come in and are properly evaluated."

As part of the loan agreement, Jafza will deed 5 acres to the county for the development of the structure, which will be located near Santee Town Hall and visible from Interstate 95.

The county is leasing that land back to Jafza with Jafza being responsible for construction. Jafza will have the sole responsibility for the building, including finding tenants and paying taxes.

n Palmetto Training

Palmetto Training provides classes in a number of fields, including industrial maintenance, carpentry, forklift operations, truck driving and welding, according to the company's website. It also has locations in Timmonsville, Charleston and Winnsboro.

Several calls and messages left over a period of a couple of weeks for PTI President Elmer E. Jackson were not returned.

In an interview last year with the Winnsboro-based Herald Independent newspaper, Jackson said he incorporated PTI in 1998 while he was working as a high school vocational educator.

In the interview, Jackson said Palmetto Training designs its curricula to meet identified employer needs.

Murphy said the center will provide specialized vocational training in areas such as excavation and heavy equipment usage, and possibly computer training.

Although local officials haven't had much experience with the company, Orangeburg County Development Commission Executive Director Gregg Robinson said Palmetto Training has a role to play in the county's economic development.

"Any type of training is good in my opinion," Robinson said. "People are learning a new skill set and now in this climate it is time to go back to school and learn a new skill. They will be a tenant in this new enterprise building and we hope they are successful."

Orangeburg-Calhoun Technical College President Dr. Anne Crook initially expressed concerns about the county's plans to help finance a building that could house a private training firm, especially as OCtech is experiencing budget cuts.

Crook said she has no concerns about Palmetto Training being in the county. She says OCtech can provide the same training as Palmetto Training.

"We don't mind competition," Crook said. "From a competitive standpoint we feel like we do everything they do and probably better."

Crook said OCtech offers what is considered the "premiere" truck driving training in the state and that it recently added a state-of-the-art welding facility.

Crook says the college has an arrangement in place with sister colleges to provide heavy machinery training.

"Them being a part of the Jafza building does not mean they will be doing the training for Jafza," Crook said. She noted the state technical college system already provides training through the Ready South Carolina workforce force training program.

Crook said she has had conversations with the company but has never worked with the firm.

n Palmetto Training

in Fairfield County

Fairfield County cut the ribbon on a Palmetto Training facility in Winnsboro about a year ago.

Fairfield County Councilman David L. Ferguson Sr. says he became aware of Palmetto Training through his professional working relationship with Jackson while serving as a career education teacher in Sumter County.

So when the economic downturn hit, Ferguson said the county's One Stop Shop got in touch with Palmetto Training to help bring in specialized classes in carpentry, welding and other areas.

Palmetto Training began operations in the county about a year ago and graduated its first class of about 14 students about six weeks ago, said Ferguson.

Electricians, masons and carpenters were among the graduates.

"We are happy to have them in Fairfield County," he said, noting the county has lost three plants in the county over the past few years "Our unemployment rates are double digits. We are at odds of what to do."

"We wanted to bring all our workforce who was underemployed or unemployed brought up to a good skill standard," Ferguson said.

Ferguson said Palmetto Training serves as a stepping stone to more in-depth training provided by the technical college system.

"We have as good a career center in Fairfield County as any," he said. "We have tried to get kids in the certain level and send them onto Midlands Technical. He gets their feet wet."

Contact the writer: gzaleski@times anddemocrat.com or 803-533-5551.

US-based Magna Park starting to take shape

2010-09-07T06:56:00.000-07:00

Monday, Sep 06, 2010

Gulf News

Construction of first building underway

Dubai Economic Zones World announced the construction of the first building in Jafza Magna Park, its US-based, 1,324 acre logistics and distribution hub located in Santee, South Carolina.

The 20,000 square feet training centre and office will be a multi-use facility that will consist of shared office facilities, training laboratories and general warehouse space known as Leased Industrial Units.

Economic Zones World acquired over 1,300 acres just outside of the town limits of Santee in Orangeburg County in the fall of 2007.

Since then Jafza has pursued and received all the necessary regulatory requirements to begin development, including site certification from the South Carolina Department of Commerce.

The initial land development will be done in three immediate phases which include the construction of the mixed-use training facility and the development of 42 and 76 acres of plots respectively. The project is expected to attract about $1.2 billion (Dh4.4 billion) in private investment and generate an estimated 8,000 to 10,000 jobs over a decade.

“This building is a significant milestone for us at EZW, especially for the Jafza team on the ground in the United States. We are excited about the project and have spent time laying the ground work for it. This first step towards the realization of all the hard work is very rewarding,” said Salma Ali Saif Bin Hareb, chief executive officer of Economic Zones World.

“It is, above all, an encouraging sign of the global economic recovery and we hope it’s a stepping stone to many more great things to come at Santee,” he added.

County Council chairman Johnnie Wright said the facility will be a major asset to the region as well as the development of the Industrial Park.

“This is further confirmation of Jafza’s commitment to South Carolina and Orangeburg County. It is indeed a Great Day in Orangeburg County,” Wright said.

In addition to the US Industrial park project, Economic Zones World is currently engaged in numerous development projects across Asia (India, Malaysia and China); Africa (Djibouti); the Middle East (the UAE) and Europe (Belgium, the United Kingdom, Germany, Poland, Italy, Spain and France).

This building is a significant milestone for us at EZW, especially for the Jafza team on the ground in the United States. We are excited about the project...”

Salma Ali Saif Bin Hareb

CEO, Economic Zones World

Staff Report

Plans for Jafza training facility move forward

2010-08-18T10:51:00.000-07:00

It seems that we are starting to see a trickle of information being released about Jafza. Stay tuned.

Ron

By PHIL SARATA, T&D Staff Writer | Posted: Tuesday, August 17, 2010 2:28 am |

Stephen McCrae Jr., Jafza's attorney, said the company will deed five acres to the county for the development of the structure.

"At the same time, the county will lease that land back to Jafza with the responsibility on our part to construct a facility called The Training Center," McCrae said. "The funding for the construction will be through Tri-County Electric Cooperative. It has some funds from Rural Economic Development Land Grant and other funding.

"The construction must be completed by January 1 because we already have one tenant identified. This is a wonderful opportunity, not only for Jafza but for the county, which brought it to us."

McCrae said the tenant is an organization involved in workforce training. Jafza will have the sole responsibility for the building, including finding tenants and paying taxes.

Clark said Tri-County is able to obtain almost $1 million through REDLG, which it will make available to the county at no interest for ten years under a separate agreement. The agreement also allows for the deferral of payments for the first two years.

"These are extraordinary, beneficial terms that cannot be touched in the private sector," Clark said. Tri-County, "will have a separate agreement with Jafza to construct the building, which will make lease payments sufficient to cover the debt service on the loan.

"It's a win-win for all parties."

McCrae said the final terms of the agreement, such as the construction budget, still need to be ironed out. He promised the documentation, once completed, will be made available for public inspection before second reading next week.

"This is virtually risk-free for the county," McCrae said. "Jafza has land that will be made available to the county if there is a default on the lease."

Also during its Monday meeting, council agreed to enter an intergovernmental loan agreement with Santee Cooper for up to $4 million for ten years. Clark said the money would likely be used for the development of a regional wastewater facility in eastern Orangeburg County.

"We have a wastewater facility under permitting review right now that should become operational in the next two, three years," Clark said. "If we need funding assistance to proceed with the development of either the water or the wastewater utility systems in that area, Santee Cooper has just made themselves available as a partner, if needed."

If the county were to use any of the Santee Cooper funding, "payment would not occur until either six months after the facility was constructed and permitted to operate, or two years from the time the funds were drawn down," Clark said. "Principal payment could be deferred to the end or be prepaid at any other negotiated period."

Santee Cooper spokesman Mollie Gore said the agreement must win approval of that utility's board of directors next week before it becomes final.

"This arrangement would be similar in structure to an agreement Santee Cooper had with Berkeley County in order to help attract development," Gore said.

In other action council:

* Unanimously gave final approval to a new county waste tire policy. Clark said accepting the policy keeps the county eligible for waste tire funding from the state.

* Awarded South Carolina State University Head Football Coach Emeritus Willie Jeffries a resolution of honor in recognition of his accomplishments in the field of athletics and role in community service to Orangeburg County. Jeffries was inducted into the College Football Hall of Fame July 17.

* Entered executive session to discuss economic development, including the terms of the Jafza agreement.

Contact the writer: psarata@timesanddemocrat.com or 803-533-5540.

Site sought for new Army Reserve Center

2010-08-18T10:42:00.000-07:00

It looks like things are starting to heat up. I hear that Jafza is going to have a ground braking in October. Ron

By GENE ZALESKI, T&D Staff Writer | Posted: Friday, August 13, 2010 4:18 am | (2) Comments
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SPECIAL TO THE T&D
The U.S. Army provided this sketch of a design for an Army Reserve Center, indicating the new $11.6 million center planned for the area would be similar.

The U.S. Army wants to purchase land within a 50-mile radius of the Orangeburg area for the construction of an Army Reserve Center.
Public Affairs Specialist Ken Beyer says leads are currently being sought for available land.
"We are only ... in the ‘looking for property' stage so there are no properties under consideration yet," Beyer said.
The Army hopes to purchase a 15-acre tract of land that has no environmental problems, is in close proximity to utilities, has good vehicle access and visibility, is suitable for construction of the center and is within budget.
The project will include a 34,000-square-foot training building, a 5,000-square-foot maintenance shop, a 2,000-square-foot unheated storage building and a 5,800-square-yard parking area.
Beyer said the time-frame is uncertain for construction of the facility but the $11.6 million project will be funded in the 2012 fiscal year budget.
The work will include land clearing, paving, fencing, site improvements and utility extensions.
"The new facility will be occupied by the eight Army Reserve units currently occupying the existing Orangeburg Memorial United States Army Reserve Center," Beyer said. The existing center is located on John C. Calhoun Drive across from Superior Honda in Orangeburg.
He said the new center will provide administrative, assembly, library, learning center, vault, weapons simulator and physical fitness space for the reserve units. The maintenance shop will provide work bays and administrative support.
Beyer hesitated to place an economic impact assessment on what the reserve center could mean from a dollar or jobs standpoint. However, he said soldiers will use local colleges and universities and spend locally. In addition, he said local catering businesses will provide meals for the soldiers, and local contractors will benefit from building maintenance projects.
Once the new center is built and occupied, the old Reserve Center will be considered "excess property" and "more than likely returned to the city," Beyer said. Options could be to convert the building into a homeless shelter, sell it or transfer it for use as a public facility, he said.
Gregg Robinson, Orangeburg County Development Commission executive director, says the county has been in contact with the U.S. Army for the past 30 days and has responded to the Army's request for a proposal.
"We have several properties that fit the criteria of the Army," Robinson said. "We would obviously like to place this facility in Orangeburg County. Folks are interested in the Orangeburg area due to our location, and the Global Logistics Triangle works for manufacturing and for the military. Orangeburg County is important logistically with the connectivity (it) offers."
In addition, the area is ideal because of its restaurants and the interstate, he said.
Robinson said the military sector fits in well with the county's future development plans.
"The Army is a very important part of Orangeburg County," he said, noting that supporting and training the Reservists to protect the nation's interests is very important.
"The beauty of having a facility of that quality in our community is the derived externalities that (will come) from other military investments."
More restaurants and service stations could be a part of the spin-off, Robinson said.
"We continue to work with a number of different types of projects," he said. "We are trying to make sure we have a competitive environment of growth for the county."
Contact the writer: gzaleski@timesanddemocrat.com or 803-533-5551.
Copyright 2010 The Times and Democrat. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Hilliard, Gilmore file in Santee mayoral race Seabrooks not seeking re-election

2010-03-05T03:56:00.000-08:00

By MARTHA ROSE BROWN, T&D Correspondent Friday, March 05, 2010

Mayor Silas Seabrooks, who says he’s served the town as mayor for a total of 22 years, declined to comment about his decision not to run for another four-year term. He said he would comment about the upcoming election and his reflections on his service to the town at a later time.

Two candidates have entered the mayoral contest: Santee Town Councilman John Mark Gilmore and Donnie L. Hilliard, former Santee town administrator and Orangeburg County administrator.

Also up for grabs are two seats on Santee Town Council.

Incumbents Cleveland Gilmore and Shirley Upton are seeking re-election, and challengers Roosevelt Hezekiah and Gregory S. King are also vying for a seat on council.

Terms for both the mayor’s job and the council seats are four years.

Santee Town Clerk Rebecca Wright said no write-in candidates filed. Filing for candidates ended Feb. 12.

When Santee voters head to the polls next month, they will have the option of choosing a mayor and two of the four candidates to serve as council members.

According to the Orangeburg County Office of Voter Registration and Elections Commission, Santee residents not yet registered to vote in the April 13 election must register by March 13.

The polls will be open from 7 a.m. to 7 p.m. on Tuesday, April 13, at the Santee Family Development Center at 210 Brooks Blvd. near Santee Town Hall.

The Municipal Board of Canvassers will hold a certification hearing to determine the validity of all provisional ballots cast in the municipal election at 11 a.m. on Thursday, April 15, in the Council Chambers at Santee Town Hall.

Contact the writer: marfawose@aol.com.

Largest ship to visit Charleston docks at Wando Welch

2010-03-04T10:20:00.000-08:00

From the Charleston Business Journal
Staff Report
Published Feb. 25, 2010

Mediterranean Shipping Co.’s Golden Gate service made its first call today on the Port of Charleston, linking the Southeast’s deepest seaport with China, Southeast Asia and the Middle East.

The first vessel to arrive in Charleston as part of the service, the MSC Rita, got here overnight and is working today at the Wando Welch Terminal.

The 1,065-foot-long Rita is the largest ship to ever come to Charleston. The only other vessel docked at the port today that came close to Rita’s size was the 850-foot Ville D. Aquarius. The smallest vessel in port on Thursday was the 383-foot Ocean Titan. The MSC Rita can hold 8,034 TEUs (20-foot equivalent unit container).

“Importers and exporters across the U.S. Southeast and Gulf region will benefit from additional connections into China, Southeast Asia, the Middle East and India through Charleston,” said Jim Newsome, president and CEO of the S.C. State Ports Authority.

The GGS port rotation includes Shanghai, Ningbo, Chiwan and Yantian, China; Singapore; Salalah, Oman; Suez Canal transit; New York; Baltimore; Norfolk; Charleston; Freeport, Bahamas; Suez Canal transit; Jeddah, Saudi Arabia; Colombo, Sri Lanka; Singapore; Chiwan; and Hong Kong.

Additional connecting services offer links to ports in India, the Red Sea and the Middle East. The Golden Gate service also provides a 21-day transit time outbound from Charleston to Jeddah.

Charleston has the deepest water south of Norfolk on the U.S. East Coast, with a 45-foot deep shipping channel at mean low water, which is the average depth of the shipping channel at low tide. A five- to six-foot tidal lift allows ships with up to 48 feet of draft to transit the harbor.

The Rita has a maximum draft of 47.5 feet.

MSC already sends five ships a week to Charleston serving the western Mediterranean, South American, Caribbean, African and European trades.

In 2009, MSC and the SCSPA signed a new five-year extension to the carrier’s contract, lengthening its commitment in Charleston to 2017.

C of C president keeps up talk of port issues

2010-03-04T10:14:00.000-08:00

From the Post and Courier

College of Charleston President George Benson in 2008 raised more than a few eyebrows when, at a Charleston Metro Chamber of Commerce economic outlook conference, he chastised his new home city for not taking better care of its maritime industry.

"There apparently is insufficient support for port growth, even within the region's business community," he said. "That's a problem."

Photo by Grace Beahm

College of Charleston President George Benson, who cut his teeth in academics as a research economist, said he thinks the local port has a bright future but remains largely underappreciated.
When Benson spoke at a Propeller Club of Charleston luncheon last week, he echoed those sentiments, with a little added context.

"Seaports are almost the most invisible sector of our economy," he said. He characterized South Carolina's port assets "underappreciated."

Benson, who previously served as dean of the Terry College of Business at the University of Georgia, offered a few reasons while a rival port in Savannah caught up with and then surpassed Charleston: Georgia has a strong governor system instead of the fractured power structure operating in South Carolina; lawmakers in Atlanta are farther removed from the people of Savannah, who are most significantly impacted by port-related decisions; and Charleston's larger population means more people scrutinize port decisions here.

Benson credited new S.C. State Ports Authority Chief Executive Jim Newsome with a future that "looks bright" for the agency. He also expressed his support of growing the cruise industry, noting, "The bigger the ship, the more cash and credit cards it carries onboard."

Driving Economic Development in the U.S. Southeast

2010-01-19T09:58:00.000-08:00

by Ken Krizner

The Southeast U.S. has a number of critical site location factors that make it a highly attractive region for expansion and relocation projects. The region’s manufacturing sector has been transformed during the past two decades by a number of foreign automaker production plants. Leading retailers have located distribution centers in the Southeast to receive inbound shipments from overseas.

Those factors include a high quality of life, states that have right to work laws and ample funding for workforce training programs and other incentives, low taxes, and a moderate climate.

The region also has a well-suited infrastructure in place, with numerous ports on the Gulf of Mexico and Atlantic Ocean, rail access via CSX and Norfolk Southern, a highway system that can accommodate heavy truckloads, and airports. As opposed to other regions of the country, the metro areas of the Southeast are connected to each other by just a few hours’ drive, says Tim Feemster, senior vice president, director of global logistics for commercial real estate advisory firm Grubb & Ellis Co.

Europe- and Asia-based automakers continue to drive economic development in the Southeast, creating a region-wide phenomenon that has transformed the manufacturing landscape. South Korea-based Kia Motors is the latest foreign automaker to launch production in the Southeast, beginning operations in West Point, Georgia in November.

Germany-based Volkswagen has begun installing equipment at its new plant in Chattanooga, Tennessee, which is expected to being production in 2011. The automaker received more than 65,000 applications for the production work force and about 30,000 applications for skilled maintenance and professional positions. Hiring will begin in early 2010, and Volkswagen expects the plant to generate about 2,000 jobs.

Mercedes is expanding its complex in Vance, Alabama, where it will spend $150 million for a 200,000 square-foot expansion of the body shop, and it will spend $140 million for equipment and process upgrades, including more robotics, in other parts of the facility. Toyota, meanwhile, is building a $1.3 billion plant in Blue Springs, Mississippi, which will employ about 2,000 workers to build the Prius. Toyota currently has production facilities in three Southeast states—Alabama, West Virginia, and Kentucky.

“The [automobile] industry has an economic model that generates jobs—both direct and indirect,” Feemster says. “The cost of labor [in the region] is good, as is the demographics of the labor. There is a skilled workforce.”

A solid distribution and logistics foundation

Retailers, too, are finding an attractive environment to expand their distribution facilities in the Southeast. Many retailers have distribution centers near the Port of Savannah (Georgia). Savannah is the nearest port to Atlanta, the largest metropolitan area in the region.

“[Savannah] is the closest port to the largest consumption zone in the region,” says Jeb Atkinson, vice president of the Corporate Services Group for ProVenture, a Brentwood, Tennessee-based national real estate advisory and corporate services company.

Wal-Mart operates a distribution center inland from the port and leases substantial warehouse space within about 5 miles. IKEA operates a 1.7 million square foot facility.

Other retailers, such as The Home Depot, Dollar Tree Stores, Lowe’s, and Target, also have distribution facilities at or connected to the Port of Savannah.

Other ports in the Southeast are also home to retail distribution operations. Supermarket chains Winn-Dixie and Publix have major distribution operations at the Port of Jacksonville (JAXPORT) in Florida. In addition, the Port of Miami is the gateway to inbound and outbound cargo shipments to and from South America, Central America, and the Caribbean.

The Southeast ports are more frequently receiving cargo shipments from Asia via the Panama Canal or Suez Canal. Retailers cite cost—ocean freight is less expensive than rail or truck—avoiding the congested California ports in Los Angeles and Long Beach, and more direct access to the heaviest U.S. population areas as the reasons.

Southeast ports are servicing the eastern seaboard and markets between 250 and 500 miles away, Feemster says. “An all-water route is less expensive,” he points out. “The longer you can extend your supply chain through the cheapest mode of transportation, the better it is. We’re producing a lot of consumer goods in China and 77 percent of the U.S. population is east of Texas.”

Logistics has been a primary economic driver in Charleston, S.C., for more than 300 years. That has led to a deep and growing pool of workers involved in all aspects of transportation and logistics. The region’s employment in transportation and materials handling occupations grew 12 percent between 2000 and 2008, compared with a 1 percent decrease in such employment nationwide, according to the Charleston Regional Development Alliance (CRDA).

Area colleges offer a number of programs relevant to the industry. “We have a full spectrum of education that allows for the training of a good work force,” remarks David Ginn, president and CEO of CRDA.

The state of South Carolina offers companies an infrastructure and market access that allows them to transport product to national and international markets by way of an expansive network of railways, airports, and highways.

There are about 260 distribution and logistics operations in the state. A distribution site in South Carolina is located within 1,000 miles of 35 states and roughly 75 percent of the total U.S. population.

Retailers such as Wal-Mart, Target, QVC, The Home Depot, Starbucks, and Walgreens have established distribution operations in the state. Wal-Mart has two distribution centers in South Carolina, which serve as super-regional distribution centers. They were chosen because of the strategic location to the company’s Southeast U.S. operations, with easy access to several interstates.

At least 30 percent of distribution facilities operate through the Port of Charleston, which is able to serve ships of up to 8,000 TEUs with only a 20-minute turnaround time for truckers. All terminals at the Port of Charleston are within 2 miles of interstate highway access.

Intermodal hubs are also a key component for the state, and Jafza International will create such a hub for its international operations at a 1,300-acre complex in Orangeburg, S.C.

Dubai, United Arab Emirates-based Jazfa’s hub will include facilities for warehousing, manufacturing, and distribution. The company expects to make an investment of between $600 million and $700 million in its Orangeburg operations during the next 15 years. wt

House adds $1.7 million more to 95/301 project

2009-12-12T10:20:00.001-08:00

By T&D Staff Saturday, December 12, 2009

The budget bill passed by the U.S. House Thursday contains an additional $1.7 million to upgrade the Interstate 95 and U.S. 301 interchange near Santee, plus money for other local projects, House Majority Whip James E. Clyburn said.

The Senate will take up the bill next week.

A total of $12 million has been identified for the U.S. 301/I-95 interchange project from federal, state and local sources, according to the S.C. Department of Transportation. The projected cost is between $30 million and $40 million.

If the project plans remain on schedule, construction could begin in 2012 and take up to 24 months to complete.

Other projects of local interest receiving federal funds as a part of the $11.3 million coming to the state include:

* Claflin University forensic laboratory — $1 million

* Orangeburg Consolidated School District Five alternative youth education program — $500,000

* Voorhees College domestic violence program — $250,000

Management change planned for Jafza project

2009-11-30T20:18:00.000-08:00

By Dan McCue Monday, November 30, 2009

Amidst the turmoil of the Dubai World debt crisis, subtle changes are coming to the management of Dubai based Jafza’s development of a massive logistics park near Santee.

The moves are not directly related to the current crisis, but rather are an outgrowth the reported $450 million purchase of London-based Gazeley Ltd., by Jafza’s parent company, Economic Zones World last year.

EZW, a subsidiary of Dubai World, has yet to be caught in the undertow related of the ongoing financial crisis in the Emirate.

For the sake of clarity, Dubai World is the emirate’s investment vehicle. It owns DP World, one of the largest global port operators, and EZW, which develops and operates economic zones and industrial parks. Gazeley, with its track record in Europe as Wal-mart’s development arm there, will help Dubai World to build a global logistics development business.

Gazeley is also considered to be at the forefront of green industrial development.

In the reshuffling, Chuck Heath, Jafza’s longtime managing director, has been named senior vice president and, among other roles, will serve as an advisor to EZW CEO Salma Hareb, long considered one of the most powerful businesswomen in the Arab world.

“I remain president of Jafza-South Carolina, and will also handle government relations in the U.S.,” Heath said.

Of his new assignment, Heath said he’s been asked to create a new business unit within EZW called “Management and Advisory.”

Through that new unit, Heath will serve as manager for several of the company’s other development projects around the world, and will also “advise other zones on global best practices,” Heath said.

In light of Heath’s new duties, EZW has appointed Nick Greenwood, Gazeley’s longtime managing director, to the position of senior vice president and managing director for Europe and the U.S., putting him directly in charge of the Santee project.

Greenwood did not respond to requests for comment, but in a profile in Property Week magazine in September, he spoke at length about continuing the company’s core business of large-scale industrial and logistics development, while also becoming more involved in the investment side of the property industry.

But that wasn’t to suggest he expected lavish backing from Dubai. In fact, he told Property Week with unintended prescience, “We haven’t got bucketloads of cash to buy up the market.”

“But we are under no pressure to sell assets so, compared with some of our competitors, we are in a good position,” Greenwood said.

Heath said he and Greenwood plan to come to South Carolina in January to formally announce what he described as “the handover” and to introduce Greenwood to stakeholders in the Santee project.

SC DOT - Press Release

2009-11-19T11:54:00.000-08:00

Public Information Meeting in Orangeburg County concerning proposed improvements to the I-95/US 301 Interchange and US 301 Connector.

The South Carolina Department of Transportation (SCDOT) has scheduled a public information meeting Thursday, December 3, concerning the I-95/US 301 Interchange Modification and US 301 Connector Project.
The meeting will be from 5 p.m. to 7 p.m., in the Lake Marion High School Cafeteria, 3656Tee Vee Road, Santee, SC.
The information meeting is intended to provide an opportunity to review and discuss individually with representatives SCDOT and the Federal Highway Administration (FHWA) plans for the proposed project. The proposed improvements consist of a modifying the I-95/US 301 Interchange from partial access to a full access interchange. The proposed improvements also include building a new location roadway to connect US 301 from I-95 to SC 6 near Naval Station Road. The US 301 connector is proposed to accommodate a five-lane section from I-95 tapering down to a three-lane section to SC 6. The connector road also includes a bridge over the CSX railroad approximately half way between I-95 and SC 6.
This project is partially funded by the Lower Savannah Council of Governments (LSCOG), congressional earmarks and Orangeburg County.
From 5 p.m. until 7p.m., persons will be received in a drop-in style, informal format. Displays will be set up in the cafeteria and project team members from the SCDOT and FHWA will be available to discuss the project with interested citizens on an individual basis. No formal presentation will be given at this meeting. At a later date, a formal public hearing will be held on the project.
For more information, the public may contact Randall Young, Midlands Regional Production Engineer, SCDOT, at (803) 737-4682. Persons with disabilities who may require special accommodations to attend the hearing should contact Karen Davis at (803) 737-1549 for assistance and information.

Public meeting Dec. 3 on proposed I-95/U.S. 301 interchange project

2009-11-19T04:50:00.000-08:00

By GENE ZALESKI, T&D Staff Writer Thursday, November 19, 2009

A public information meeting is scheduled on Thursday, Dec. 3, related to the proposed improvements to the Interstate 95/U.S. 301 interchange and U.S. 301 Connector Project.

The S.C. Department of Transportation has scheduled the informal drop-in meeting from 5-7 p.m. in the Lake Marion High School cafeteria at 3656 Tee Vee Road in Santee.

The public will have an opportunity to review and discuss the project with SCDOT and Federal Highway Administration representatives.

“Right now we are developing our displays,” said Randall Young, SCDOT Midlands regional production engineer. He said the public will be able to see the plans for the project at the meeting.

The proposed improvements consist of modifying the I-95/US 301 interchange from a partial-access to a full-access interchange. Currently, there is a U.S. 301 northbound entrance onto I-95 and a southbound exit onto U.S. 301.

The project would involve construction of both a southbound and a northbound entrance and exit to both highways.

The proposed improvements also include building a new location roadway to connect U.S. 301 from I-95 to S.C. 6 near Naval Station Road.

The U.S. 301 connector would accommodate a five-lane section from I-95 tapering down to a three-lane section to S.C. 6. The connector road also includes a bridge over the CSX railroad approximately halfway between I-95 and S.C. 6.

The proposed project is partially funded by SCDOT through money allocated to the Lower Savannah Council of Governments region, Congressional earmarks and Orangeburg County.

A total of about $10 million has been allocated for the estimated $30 million to $35 million project.

Young said comments shared by the public during the Dec. 3 meeting will be gathered and reviewed, along with the various regulatory agency comments. The comments will be used in preparation of the final design plan (which will be used in the purchase of right-of-ways) and the environmental plan, he said.

A public hearing will be held in about a year to release the final plan, and the public will be able to express their opinions on the project, Young said.

After the public hearing and review of comments, rights-of-way will be purchased, construction documents will be finalized and the project will go to construction pending funding availability.

For more information, contact Young at 803-737-4682.

Persons with disabilities who may require special accommodations to attend the Dec. 3 hearing can contact Karen Davis at 803-737-1549 for assistance.

T&D Staff Writer Gene Zaleski can be reached by e-mail at gzaleski@timesanddemocrat.com or by phone at 803-533-5551. Discuss this and other stories online at TheTandD.com.

S.C. lands Boeing

2009-10-29T09:12:00.000-07:00

By JOHN O'CONNOR - joconnor@thestate.com

The landing was delayed, but Boeing has arrived in South Carolina and is bringing along 3,800 jobs to build its new, state-of-the-art jet.

Jilting its longtime Washington state manufacturing base, the Chicago-based airplane maker said Wednesday it will build its second 787 Dreamliner assembly line in North Charleston.

State and local officials, who unsuccessfully sought Boeing's first 787 assembly line in 2003, expect Boeing to break ground on the plant within a month, as the company moves to get the line up and running by 2011 to complete backordered planes.
boeing

Members of the South Carolina Senate applaud successfully passing legislation allowing incentives paving the way for the aircraft manufacturing plant to expand in the lowcountry. Members of the committee who worked to lure Boeing to the state include, from left, Sen. Nikki Setzler, D-Lexington, Sen. Glenn McConnell, R-Charleston, Sen. Hugh Leatherman, R-Florence, Sen. Harvey Peeler, R-Cherokee, Sen. Larry Grooms, R-Berkeley, and Sen. Paul Campbell, R-Berkeley,

- Tracy Glantz/tglantz@thestate.com
Tale of two cities
thestate.com

A tale in two cities. Click to enlarge.

* Story: Boeing: 'Hiring in the thousands'
* Story: Boeing's take: The jet maker's announcement
*
* Story: S.C. officials worked years to win the 787 plant prize
*
*
*
Boeing links from around the web

Editorials | A wake-up call
The Seattle Times | October 29, 2009
Quote: Boeing's decision to build a second 787 line in South Carolina is not an obituary. Bad news for Puget Sound, yes. A game-changer, yes. A wake-up call, we hope.

Machinists disappointed, call union "a handy scapegoat"
The Seattle Times | October 29, 2009
Quote: "The company used the negotiations to scare South Carolina into a sweeter offer. We make a handy scapegoat."

Boeing lands in North Charleston
The Charleston Post and Courier | October 29, 2009
Quote: North Charleston won the fiercely fought battle for a Boeing 787 aircraft assembly plant Wednesday, thrusting South Carolina onto the world stage of aircraft manufacturing.

S.C. lands Boeing
The State | October 29, 2009
Quote: The landing was delayed, but Boeing has arrived in South Carolina and is bringing along 3,800 jobs to build its new, state-of-the-art jet.

S.C. officials worked years to win the 787 plant prize
The Charleston Post and Courier | October 29, 2009
Quote: While Boeing Co. did not publicly disclose plans for a second 787 assembly line until this year, the effort to lure the investment and jobs to South Carolina can be traced back to June 2003.

Ripple effect to magnify benefits of Boeing's S.C. Deal
The State | October 29, 2009
Quote: Boeing's commitment to North Charleston could kickstart economic recovery in South Carolina, a leading economist said Wednesday.

Boeing: Lawmakers Create the Illusion of Economic Growth
SC Policy Council | October 28, 2009
Quote: "Boeing's decision to expand in South Carolina is good news. Unfortunately, South Carolina taxpayers will have to pay them to do it," said South Carolina Policy Council President Ashley Landess.

Jon Talton | Who's to blame for losing the second 787 line?
The Seattle Times
Quote: The crime has gone down. South Carolina, not Washington, will get the second 787 line and perhaps much more.

Gregoire: 'I'm angry'...Boeing 'made the wrong decision'
Seattle P-I | October 28, 2009
Quote: Washington Gov. Chris Gregoire: "I'm angry, I hurt for the workers, I think the company made the wrong decision."

2009-2010 Bill 313
scstatehouse.gov | October 28, 2009
Quote: South Carolina General Assembly General Bill sponsored by Rep. Harvin

More links
Video

Boeing Plant Comes to North Charleston
The (Charleston) Post and Courier | October 29, 2009
Quote: Boeing announcement that it has chosen its North Charleston facility as the location for a second final assembly site for the 787 Dreamliner program.

Boeing: South Carolina reaction
The Seattle Times | October 29, 2009
Quote: South Carolina state senators react to Boeing's decision to build a 787 final assembly plant in Charleston.
Boeing Revolutionizes Flight: 787 Dreamliner - Episode 2

YouTube | October 12, 2007
Quote: Boeing's new 787 Dreamliner is the next step in commercial aviation. The plane is loaded with breakthrough technological and passenger-comfort features.
Northwest Airlines - Boeing 787 Dreamliner Introduction

YouTube | December 28, 2007
Quote: This is the introduction of the 787 Dreamliner at the 2007 Managers conference. Copyright NWA Inc. 2007

Boeing said it chose the North Charleston site because of its existing facilities at the site, some already working on 787 segments.

"Establishing a second 787 assembly line in Charleston will expand our production capability to meet the market demand for the airplane," Jim Albaugh, chief executive of Boeing Commercial Airplanes, said in a news release. "This decision allows us to continue building on the synergies we have established in South Carolina."

The General Assembly also approved a massive tax incentive package, part of a host of promises made to Boeing since the company first discussed the possibility of locating in South Carolina in August. The package would eliminate income and other taxes for the company for a decade and provide low-interest construction bonds.

Gov. Mark Sanford, who previously opposed similar packages, said Wednesday he would sign the incentives bill.

To qualify for the incentives, Boeing pledged to invest at least $750 million and create 3,800 jobs in the state within seven years. State officials expect those number to grow.

Senate Finance Committee chairman Hugh Leatherman, R-Florence and one of the chief negotiators, said Boeing's move could have an initial economic impact of up to $450 million a year, even after incentives are taken into account.

That does not include other economic pluses that will spring from the plant. "The effects on our economy will be mind-boggling," said Leatherman.

House Speaker Bobby Harrell, R-Charleston, said the need for legislators to return in special session this week - to restore federal jobless benefits that unemployed South Carolinians lost because of an error not corrected earlier this year - gave lawmakers the chance to OK the incentives.

Harrell said he does not think the deal hinged on incentives, though leaders had planned to call lawmakers back into session, if needed, to approve them.

"The timing was incredible," Harrell said. "We were fortunate their board was meeting at the same week."

The Seattle Times reported the company could move facilities to South Carolina, but Boeing's Albaugh said his company remains committed to Washington.

"The Puget Sound region is the headquarters of Boeing Commercial Airplanes. Everett will continue to design and produce airplanes, including the 787, and there is tremendous opportunity for our current and future products here," Albaugh said in his news release.

S.C. officials expect a network of companies will spring up across the state to support Boeing's operations, just as businesses sprang up around BMW's Upstate plant, opened in the 1990s. Commerce Secretary Joe Taylor said his agency already is courting some of those firms and will advise existing S.C. businesses on opportunities.

Most credited a team of lawmakers, led by Leatherman, and Taylor for sealing the deal.

But it did not come easily.

Lawmakers said Boeing needed assurances S.C. workers were up to the work, and the state could provide training.

Senate President Pro Tempore Glenn McConnell, R-Charleston, Harrell, Leatherman and aides were in and out of closed-door meetings Wednesday with staffers, attorneys and Boeing representatives. Outside, lawmakers and lobbyists milled about, likening it to waiting on the Vatican's cardinals to send up a puff of smoke to signal a decision on a pope.

Other lawmakers acknowledged concerns South Carolina could be a pawn in high-stakes negotiations between Boeing and Washington state, the other finalist for the new plant.

"Any two parties in a negotiation could play one party against another party that made an offer," state Sen. Chip Campsen, R-Charleston said while waiting on the announcement. "It's always a risk you run. ... (But) I think they are legitimately interested in us."

Later, Campsen said the state's lower taxes and good quality of life were crucial factors in attracting Boeing.

When the Senate approved the incentives earlier Wednesday, "We had no idea Boeing was going to come here," Leatherman said. "As late as 4:30 (p.m. Wednesday), there was no decision."

A call from Boeing came about 5 p.m., unleashing cheers in the Senate while House lawmakers donned palmetto tree pins with wings. In the lobby, Sanford waited to personally thank Leatherman and McConnell - both of whom he frequently has criticized in the past.

"In terms of jobs, it's an incredible shot in the arm," Sanford said, in a nod to the state's 11.6 percent jobless rate. "Timing is of the essence."

Why S.C.?

Some of the reasons Boeing chose S.C. over Washington

Boeing's workers in North Charleston are nonunion and lower paid than their Washington state counterparts. In September, the Charleston workers voted to oust the Machinists union.

The S.C. General Assembly offered large financial incentives - including $170 million for infrastructure and other tax breaks - to lower Boeing's costs.

State-funded training at tech colleges diminishes the disadvantage of local workers' inexperience. Charleston's Trident Technical College has classes geared specifically to Boeing's needs.

Charleston has one of the deepest ports on the East Coast and an airport with runways long enough to handle the largest airplanes built.

Boeing also reportedly was unhappy with the business climate in Washington state - unionized workers there who went on costly strikes, and that state's shortage of college-educated engineers.

Boeing's big expansion could mean local jobs

2009-10-29T09:09:00.000-07:00

By T&D Staff Thursday, October 29, 2009

Boeing’s announcement that it will open a second jetliner production line in North Charleston could mean more jobs for Orangeburg County workers, local officials say.

“This will give us a great opportunity with the Global Logistics Triangle,” Orangeburg County Development Commission Chairman Jeannine Kees said. “We will get more looks and a lot more attention.

“We will take the spin-offs and that is fine.”

The Boeing Co. announced Wednesday it will put its second line for the 787 jetliner in North Charleston and not Everett, Wash. Officials say that in addition to the North Charleston jobs, there is also the possibility that Orangeburg County can land businesses that serve Boeing.

Kees said the project could bring attention to the Jafza Magna Park-Santee project, the John Matthews Industrial Park and the county’s speculative building at the Orangeburg County/City Industrial Park.

“We will get more lookers,” she said.

State Rep. Gilda-Cobb Hunter, D-Orangeburg, said, “I think it will have a tremendous impact on Orangeburg County, particularly eastern Orangeburg County because of its proximity to North Charleston. That is not a bad commute.”

Also, “There is an excellent opportunity for spin-offs in Orangeburg County. I think it puts Orangeburg County in a good situation,” she said.

State Sen. John Matthews, D-Bowman, echoed the sentiment, saying the benefits of economic development are not confined to one county.

Anything that helps one county in the region can help them all, he said. “There will be a tremendous benefit for all of us.”

Orangeburg County Development Commission Executive Director Gregg Robinson noted the county already supplies the aviation sector. For instance, Zeus Industries produces advanced polymers for the aviation industry.

Good News!

2009-10-14T09:32:00.000-07:00

From CPExecutive.com

Charleston Industrial Market Gets Boost with 1.1MSF BTS Deal
Oct 13, 2009
By: Barbra Murray, Contributing Editor

Given that the U.S. recession has left the retail market in shambles and the global financial meltdown has hindered trade activity, demand for distribution and warehouse facilities has taken a major hit, so the big news out of Charleston's industrial market is something that is heard of quite infrequently these days. Rockefeller Group Development Corp. and MeadWestvaco Corp., developers of the 400-acre Rockefeller Group Foreign Trade Zone/Charleston industrial park in Berkeley County, S.C., have just landed a 1.1 million square-foot build-to-suit deal with automotive replacement tires marketer TBC Corp.

Located at the I-26/Jedburg Road interchange near the Port of Charleston--one of the top 10 ports in the country--FTZ/Charleston will ultimately feature multiple buildings totaling 2.7 million square feet. TBC's commitment is the property's first, and the company will utilize the behemoth facility to bring part of its distribution network under one big state-of-the-art umbrella. Real estate services firm Colliers Keenan represented the Rockefeller/MWV development team in the build-to-suit agreement, while Jones Lang LaSalle stood in for TBC.

Local and state officials competed with other states to bring the Rockefeller/MWV project to the port area, where demand for space is expected to grow, partially due to the fact that plans have recently been put in place to increase the Port of Charleston's capacity by 50 percent. The hope is that the TBC facility and the port expansion will attract other businesses to this distribution cluster.

Charleston, however, does not have to wait for the late 2010 completion of the new TBC distribution center to spur recovery of the industrial market; recovery is actually already getting underway. The average vacancy rate in the Charleston area decreased 1.4 percent in the second quarter, while the average vacancy rate for the U.S. increased 1.2 percent," according to reports by real estate services firm Grubb & Ellis. The 120 basis points jump in the national industrial market marked the largest single-quarter increase in the 22-year history of the Grubb & Ellis report.

"Fundamentally, the Charleston market is not unhealthy," Peter Fennelly, vice president with Colliers Keenan, told CPE. "It's not large, roughly 30 million square feet. It has been affected by the changing economy over the last 24 months but we didn't overbuild so there isn't a lot of vacancy in the market; there are very few blocks of large space available." The recent hiring of a new CEO for the South Carolina Ports Authority, he added, is also providing confidence in the market. Other positive signs pointing to the commencement of a turnaround include increased absorption due to dropping lease rates, and the rebounding of the local housing market.

Construction of TBC's new distribution center is on track to begin in the fourth quarter of this year.

South Carolina Dept. of Commerce is helping to market Jafza Magna Park

2009-10-12T11:27:00.000-07:00

Click here to visit the South Carolina Department of Commerce website.

Jafza reviews North American project

2009-10-07T10:45:00.001-07:00

by Robeel Haq on Oct 7, 2009

Jafza International has announced a revised plan for its ambitious development in North America, with the groundbreaking of phase one being scheduled for the first quarter of next year.

During its initial stage, the project is expected to focus on warehousing and distribution, light manufacturing and office space, covering a reported 200 acres from the 1324 acres that Jafza International purchased in Orangeburg, South Carolina, two years ago.

“We’ve had a market-driven concept for this project, and of course, given the economic downturn we’ve all experienced, we thought it prudent to start small and grow as the economy strengthens,” explained Chuck Health, managing director of Jafza International.

A marketing campaign for the complex, which commenced at the recent Third Party Logistics Summit in Atlanta, will also extend to Dubai, with an initial focus on companies that operate in Jebel Ali Free Zone.

“We are actively soliciting clients and have seven or eight prospects in the Americas and Europe, so things are getting interesting,” said Heath. “We have also prepared for a new campaign in Dubai this month.”

Jafza International changes development plans

2009-09-22T07:28:00.000-07:00

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Jafza International changes development plans

By Molly Parker
mparker@scbiznews.com
Published Sept. 21, 2009

Jafza International has retooled its Phase 1 development plan for the massive logistics and warehousing complex the company has proposed for rural Santee.

Project map Jafza is currently marketing four separate parcels of land on the outskirts of its 1,300-acre property. The plots highlighted in yellow on this map are available immediately for light manufacturing, warehousing and logistics space.

They are (from left to right):

· A 49.3-acre parcel near Santee’s Town Hall building.

· A 75.6-acre parcel located adjacent to the Santee Outlet Mall.

· A 90.6-acre parcel on Intracoastal Lane.

· A 55.9-acre parcel off Resort Street.

Originally, Jafza had planned to put a 135-acre parcel in the center of its land on the market first and secure an anchor tenant for the project. But those plans are on hold as government officials attempt to secure millions of dollars for necessary road improvements.

The original Phase 1 project requires the addition of an interchange on Interstate 95 so that U.S. Highway 301 can be accessed from the interstate’s northbound lane. It also requires the extension of U.S. Highway 301 east of I-95 to S.C. Highway 6. Combined, these projects are expected to cost up to $60 million.

Jafza and Orangeburg County officials are projecting that the road project will be completed by 2012.

Market materials outlining the revised development plans were sent out last week to 1,200 customers worldwide, a company spokeswoman said.

In total, Jafza International, based in Dubai, United Arab Emirates, is planning 4 million square feet of warehouse and distribution space, to be a hub for storage, processing and then transportation of goods shipped through the Port of Charleston.

The company announced its aggressive development plans in November, but economic conditions have slowed projections. Jafza is not building on a speculative basis and only plans to erect buildings once a tenant is secured, company officials have said.

Reach Molly Parker at 843-849-3144.

Plan aims to foster logistics

2009-09-06T14:42:00.000-07:00

By T&D Staff Sunday, September 06, 2009

A Columbia-based public/private economic development partnership launched a “strategic communications” plan to help bolster the state’s Transportation, Distribution and Logistics (TDL) Cluster.

The plan was unveiled at the South Carolina Economic Developers’ Association’s recent fall membership meeting.

The cluster’s plan was presented to a crowd of 150 economic development leaders from across the state.

The TDL cluster consists of World Trade City Orangeburg and the Orangeburg County Development Commission. The cluster has about 40 participants.

“The purpose of the plan is to promote a greater understanding of the critical nature of the cluster and its impact on South Carolina’s overall economy,” Cluster Co-Chair Deepal Eliatamby, president of Alliance Consulting Engineers, said.

Over the next six months, the TDL Cluster plans to present the plan at events in Orangeburg.

The plan outlines five main goals and strategies to accomplish over the course of the next 18 months, including raising awareness and recruiting stakeholders; marketing the importance of the cluster; establishing a TDL council composed of industry and government members; and raising funds to support the cluster’s growth, development, and projects.

Launched in February 2008 under the guidance of New Carolina -- also known as the S.C. Council on Competitiveness -- TDL was formed to provide a formal structure for transportation, distribution, and logistics companies to collaborate and address issues impacting the state’s industry.

The TDL Cluster has been working over the past year to develop a strategic communications plan that industry leaders identified was needed at a statewide summit held in May 2008.

Jafza Update August 25th 2009

2009-09-01T07:08:00.001-07:00

Here are some of my observations and impressions of the Jafza Update on August 25th, 2009.

At the Orangeburg Lunch Rotary Club meeting last week, Tara Roberton form Jafza gave an update on their project in Santee. Tara is the spokeswomen for Jafza.

Important points:

1. New Name - Jafza Magna Park, Santee, SC
The new name suggests closer ties between Gazeley and the Jafza USA development team.

2. Change of development plan -
Jafza is going to focus on developing 4 tracts of land that comprise 200 acres. These parcels will require less infrastructure and can be developed almost immediately.

3. Marketing - Jafza is kicking off a new marketing campaign. They will be looking for both domestic and foreign clients for Santee.

4. Ground breaking 1st Quarter 2010.

I think that delays in funding for the I-95 exit 97 upgrade and the extension of US 301 have contributed to Jafza having to change it plans. Another contributing factor is the lack of demand for warehouse and logistic space. As the global economy grows and products begin to be traded again internationally, Jafza Magna Park will grow and become a reality.

Ron

Jafza refocuses on debut of US project

2009-08-29T19:11:00.001-07:00

By

Dan McCue on Sunday, August 30, 2009

Dubai-based Jafza International's American unit is refocusing its plans for the company's first-ever North American development.

The firm said it will initially build on just 200 acres of the 1,324 acres it bought in Orangeburg, South Carolina, two years ago.

Dubbed phase 1a, groundbreaking on this first stage of what is anticipated to be a 20-year build out is tentatively scheduled for the first quarter of 2010.

Jebel Ali Free Zone Authority (Jafza) Managing Director Chuck Heath said the initial development will focus on light manufacturing, some distribution and warehousing, and office space.

"We've also had a market-driven concept for this project, and of course, given the economic downturn we've all experienced, we thought it prudent to start small and grow as the economy strengthens," he said.

Meanwhile, project managers have taken another look at the more aggressive build-out and development plan unveiled last autumn and decided to refine the firm's approach to the site.

"It's not so much a rethinking of our plans as getting down to a new level of detail in our planning," said the Jafza managing director.

Last autumn, hundreds crowded into a theatre in Orangeburg, a few miles from the Jafza site, heard a presentation in which the $600 million (Dh2.2 billion) project was envisioned as being rolled out in five phases, culminating with total build-out in 2032.

Phase one was always envisioned as a mixed use development, while phase two, initially expected to be completed by 2016, would have added more warehouse and distribution space as well as a 63-acre intermodal yard.

Successive phases were to continue to add warehouse, distribution and light manufacturing, as sales and interest dictated.

But the preliminary master plan also anticipated intense activity on the site – with as many as 660,000 cargo containers passing through the park on an annual basis, generating about 50,000 daily truck trips.

Instead of maxing out the intensity of land use, Heath said Jafza will bring the project back into line with the "campus/office park" concept he promoted immediately after the Dubai World purchased the land in September 2007.

"We always said we wanted this project to complement the surrounding environment, and to do that I think you really have to consider not going in and tearing down every tree," he said.

According to Heath, the return to a more park-like approach to the development was influenced at least in part by studies Jafza undertook to determine the intensity of wetlands on the site.

Of the entire 1,324 acres, only about three acres proved completely undevelopable due to onsite wetlands. While the company could have chosen to fill some of them by undertaking regulator-approved mitigation efforts, Heath decided to leave the existing wetlands just as they are.

"When you are up in the air and see an aerial view of the site, it instantly becomes clear which areas will benefit from and be most cost-effective for development, and it is also clear which areas will be more beneficial to the project if left in a natural or wild state," he said.

As for the remaining phases of development, Heath said those will be entirely dictated by the strength and timing of the economic rebound. "For instance, right now we're not as concerned about the intermodal aspect of the project," he said.

"We'll set aside land for it, of course, but currently there is just not enough cargo movement to warrant its development now."

Heath also revealed that Jafza kicked off its North American marketing effort on June 23 at the sixth annual Third Party Logistics Summit in Atlanta. "We're actively soliciting clients, and we're about to do our first mailing, sending our new brochure to about 1,900 prospects across North America," he said.

A similar mail effort targeting companies in Jafza's massive Jebel Ali facility in Dubai will be undertaken in late September, after the conclusion of Ramadan.

"In a sense, we'll obviously be treading water [during Ramadan], but it will also give us additional time to prepare for a very orderly marketing effort in Dubai," Heath said.

"In any event, we currently have seven or eight prospects we're pursuing in the Americas and Europe, so it's getting very interesting," he added.

The other thing on Jafza America's plate is drafting the Request for Proposals (RFP) for the six civil engineering firms selected to potentially work on the project through a requests for qualifications (RFQ) that concluded in June.

"This is where we get down to details and provide them with a detailed scope of work, looking at roads, utilities, where the initial building pads will be, all the things you need to know to actually develop the site."

Each of the firms will be expected to then supply Jafza with a financial and technical proposal, which will then be rated by a committee.

"We'll be looking for both expertise and competitive pricing – of course that won't be going for the lowest bidder. What you're looking for is a combination of attributes," said Heath.

Jafza approach is good business in tough times

2009-08-28T08:52:00.000-07:00

Friday, August 28, 2009

ISSUE: Jafza’s Santee plan

OUR VIEW: Developing accessible areas now means quicker return on investment

It wasn’t hard to tell that a lot of people were interested in the latest message from Jafza Americas about its plans to build a global logistics park in Santee.

During summer vacation months, attendance at civic club meetings tends to be off. Whether its Rotary, Kiwanis, Lions, a lot of people miss sessions or make up elsewhere because they are out of town or otherwise obligated. Not Tuesday. The dining hall at the Orangeburg Country Club was full as Rotarians from Orangeburg, Santee and Charleston were joined by government officials and others to hear from Tara Robertson, spokeswoman for Jafza.

The message she brought was as predictable as it was relieving.

Jafza had already decided that it would limit its U.S. focus during the recession to land it owns in Santee. In other words, instead of thinking further expansion, develop the land in which money already is invested.

Beyond that, Jafza says now the emphasis will be on developing 200 acres of its 1,322 in Santee. This will be acreage that is most accessible to existing roadways.

With the modifications to U.S. 301 still in the planning phase, waiting means delaying any movement on the project. And that means waiting for return on investment.

Robertonson put it this way: “We are in a recession, hence we are going to switch things up to adapt to that. This project we have always said is market driven, and as you know, the market has subsided somewhat, but there are some opportunities out there.”

“The first phase was contingent on U.S. 301 (modification) since that time line is still being tweaked and we can develop other areas now. Why not?” Robertson said. “Everyone wants to see some movement, and so we have adjusted our thinking process. We are focusing on areas available today.”

Indeed. Why not?

The prospects for Jafza and its ultimate plan for development in eastern Orangeburg County remain very exciting for Orangeburg County and the region. The recession will end. Progress will return, and having a player on the level of Jafza with a vested interest in growth here only puts us ahead of the curve in the recovery and beyond.

Gazeley Chatterley Valley Video Added

2009-08-27T07:48:00.001-07:00

I just added a Gazeley Chatterley Valley Video to the site. Chatterley Valley was mentioned at the Jafza update as a possible warehouse that could be built in Santee for a client if desired.

Jafza focuses on most accessible 200 acres

2009-08-27T06:21:00.000-07:00

By GENE ZALESKI, T&D Staff Writer Thursday, August 27, 2009

Because of global economic challenges, a Jafza Americas official says the company is refocusing its Santee global logistics park development plans to land plots readily accessible in the 1,322 acres of Jafza Magna Park-Santee

“We are in a recession, hence we are going to switch things up to adapt to that,” Jafza spokeswoman Tara Robertson told Orangeburg Rotarians during a Tuesday luncheon. “This project we have always said is market driven, and as you know, the market has subsided somewhat, but there are some opportunities out there.”

Robertson said the properties that will be developed immediately have ready road access.

“The first phase was contingent on U.S. 301 (modification) since that time line is still being tweaked and we can develop other areas now. Why not?” Robertson said. “Everyone wants to see some movement, and so we have adjusted our thinking process. We are focusing on areas available today.”

The first four plots, which total about 200 acres, will be developed primarily near Hannah Drive, Knowles Street, Intercoastal and LTD Road. These will all be temporary access points to the property.

Phase 1a, which should see groundbreaking around the first quarter of 2010, will focus on warehousing, distribution and office space.

About $15 million of federal, state and local monies have been allocated toward modification or upgrade of the U.S. 301 and Interstate 95 interchange. Currently, there is no southbound access to U.S. 301 from I-95.

The project is expected to be a minimum of about $25 million to upward of $60 million to upgrade.

“We have to develop the park,” Orangeburg County Economic Development Commission Executive Director Gregg Robinson said. “We have to address the issues related to connectivity with the modification of Exit 97 and we also have to look at improvements to the wastewater and water system in Santee.”

“But we can service the park right now,” Robinson said, noting that it has all the infrastructure a company would need.

Currently, Jafza continues to work on due diligence and property studies to lessen environmental impacts.

Jafza acquired the land in 2007.

“We have shown these sites to potential clients and have actually sent out proposals. We are waiting on hearing back from them,” Robertson said. “Companies are looking at areas in which they can expand their business and we need to market our project as “we are there, and we are ready for you now.’”

She declined comment on specific clients or discussions.

Robertson said that despite the economic challenges, Jafza remains committed to Santee and Orangeburg County.

“It has been a long time coming and we still have a long way to go,” she said. “But we are still here to stay. We are not going anywhere.”

Addressing concerns about truck flow, Robinson said the property has access to three interstate exits and enough area where traffic flow would be routed as much as possible away from the town of Santee.

The exits would be 93, 97 and 98.

He also added that property access would differ depending on client needs -- such as whether they prefer rail, a remote location or interstate frontage.

“We can build a new road in any portion of the county,” Robinson said. “If a company needs a road, I can build them a road. We have correct county roads that lead to their site that we can easily develop.”

Addressing concerns about traffic flow, Robinson said that with Food Lion located about 6 miles from Santee, truck traffic is already present in the area.

“You are not going to have a massive amount of truck traffic increase. It is in a phased approach. Will we see some, yes. Will we see an overburden of trucks, no,” he said.

Robertson said the park will not occupy companies bringing in 1,000 jobs.

“We are talking about 100 to 200 maybe 500 jobs that would be a max on the plot,” she said, adding that the acreage will help spread out traffic flow.

In the meantime, Robertson said the company is ramping up its marketing efforts, noting that it has a database of about 1,200 target customers and will “build to suit,” meaning that if a company requests a certain building, it will be done.

“We will build it for you,” Robertson said. “When you see a building going up, you know a client is coming in.”

Robertson said with Jafza’s acquisition of Gazeley, a global logistics park developer, in July 2008, the company has brought with it environmentally conscious expertise. She said Gazeley has created what is believed to be the world’s only carbon-negative logistics park in England and could do the same in Orangeburg if client-driven.

“We will have a sustainable approach to help the business bottom line,” she said. “Cap and trade ... that could really hurt a businesses bottom line. We can build in those things to help reduce your energy.”

T&D Staff Writer Gene Zaleski can be reached by e-mail at gzaleski@timesanddemocrat.com or by phone at 803-533-5551.

New Jafza Video Added to Site

2009-08-19T07:46:00.000-07:00

I just added a new video about Jafza to the video section of the website. I hope that you find this website informative and helpful.

Ron

Update on I95 exit 97 and 301 Extension

2009-08-19T06:53:00.000-07:00

On Thursday, September 3rd, the South Carolina department of transportation will have a representative come to speak to the Lake Marion Rotary Club. SC DOT will be updating us on the upgrading of I95's exit 97 and the extension of 301 to Hwy 6.

Space will be very limit. If you would like to be my guest to the meeting, please contact me.

LMRWA eyes construction of Holly Hill, Calhoun Phase II reaches

2009-08-15T06:57:00.000-07:00

By Martha Rose Brown, T&D Correspondent Saturday, August 15, 2009

With the Santee waterline reaches up and running, the Lake Marion Regional Water Agency is proceeding with plans to start construction within the next few months of the Holly Hill and Calhoun County Phase II waterlines.

During this month’s meeting of the LMRWA, held at the water treatment facility in Santee, plant operations official Darla Barnette and U.S. Army Corps of Engineers representative Patrick O’Donnell announced that the process for securing construction bids and permits is under way for the initial phase of the Holly Hill reach, which will ultimately supply water from Lake Marion to the Holly Hill area.

Currently, the Town of Santee is the only customer that is completely tapped into and using the LMRWA to supply its water – other towns and areas also plan to tie into the regional water system.

LMRWA and Army Corps of Engineers officials are working together to hold a “media event” when construction begins for the Holly Hill reach, which will initially connect Wells Crossroad to the LMRWA water treatment facility in Santee.

O’Donnell tentatively set a date in late October for the ceremony in Holly Hill.

Barnette said the Holly Hill reach will “leave from the Santee reach and come down through, parallel to Interstate 95 and cut over to Highway 15 down to Wells Crossroad.”

The waterline will measure approximately 36,600 linear feet – a total of six miles.

Also during the meeting, auditor James “Jamie” Michaelson of the firm Robert E. Milhouse CPA, whose main office is in Columbia, issued a “clean opinion” of LMRWA’s financial statements for FY 2008, which ended Dec. 31.

According to the balance sheet, LMRWA has $56,238,018 in total assets combined with total liabilities and net assets. With the water system serving its first customers beginning last year, LMRWA gained $112,396 in total operating revenue (which includes membership fees and volumetric revenue).

The LMRWA has been the recipient of approximately $51.9 million in federal, state and local contributions to aid in the construction of the water treatment plant and distribution systems, according to the audit.

The water treatment plant’s capacity is eight million gallons per day.

The next regular meeting of the LMRWA will be at 2 p.m. on Thursday, Oct. 1, at the Lake Marion Regional Water Treatment Plant in Santee.

T&D Correspondent Martha Rose Brown can be reached by e-mail at marfawose@aol.com. Discuss this and other stories online at TheTandD.com.

Condos in Santee

2009-08-10T08:10:00.000-07:00

Now is the time to buy a waterfront condo in Santee, if you are in the market for one.

In Ballard's Point III, there is a 3Br 3Ba third floor condo for sale @ $149,900. 3Br units in phase III sold for around $250,000 in 2007.

In Ballard's Point II, four units are being auctioned off later this month. This auction company mostly auctions properties that are foreclosures or in loss mitigation.

If you have any interest in buying a waterfront condo in Santee please call me.

Ron

Jafza Update

2009-07-31T10:24:00.000-07:00

Orangeburg County Development Commission will be giving an update on the Jafza project to the Orangeburg Rotary Club in August. If you wish to attend please call me for the details.

Ron

CCU Economic Summit to focus on ports

2009-07-29T08:47:00.001-07:00

NEWS RELEASE
Published: July 28, 2009

CONWAY - John F. Hassell III, interim president and CEO of SC State Ports Authority, and Thomas J. Eagar, CEO of NC State Ports Authority, will be the keynote speakers at the 12th annual Economic Growth Summit on Friday, Aug. 7 from 9 a.m. to noon in Wheelwright Auditorium at Coastal Carolina University. Registration begins at 8:15 a.m.

According to a news release, the annual economic conference, sponsored by the E. Craig Wall Sr. College of Business Administration at Coastal Carolina University and the Cameron School of Business at the University of North Carolina Wilmington and supported by The Sun News, is free and open to the public.

“The ImPORTance of the Ports to NC and SC” and “The Significance of I-73 and I-74 to the Success of the Ports” are topics to be discussed at the summit, the release said.

Hassell, a native of Charleston, has served for 15 years as president of the Maritime Association of South Carolina, a chamber of commerce for port-related businesses, organizations and agencies. Prior to that, he worked for Santee Cooper, the U.S. Department of Commerce and the SC State Ports Authority. He was founding president of the Charleston Port & Seafarers Society and founding chairman of the S.C. World Trade Center.

Eagar, who was appointed chief executive officer in August 2004 by the NC State Ports Authority Board of Directors, has a 30-year career in maritime transportation including senior management positions with Florida-based Crowley American Transport Inc., Sea-Land Service Inc. and Chiquita Brands North America in Cincinnati, as well as five years of international experience, the release said.

Addressing economic outlook issues will be William W. (Woody) Hall and Donald L. Schunk, research economists.

Hall, a senior economist with the Center for Business and Economic Services in the Cameron School of Business at UNCW, will address the regional North Carolina economic forecast.

Donald Schunk, research economist for the BB&T Center for Economics and Community Development in the Wall College of Business at Coastal Carolina University, will address the national outlook and forecast the regional outlook for South Carolina.

There will also be a panel to discuss I-73 and I-74 and their significance to the North Carolina and South Carolina ports, as well as the economic future of the region.

The panel will consist of Hassell; Eagar; Rep. Alan D. Clemmons, District 107, S.C. General Assembly; and Rep. Daniel F. McComas, District 19, N.C. General Assembly.

Jafza minimizing wetlands impact, fed. officials say

2009-07-28T07:08:00.000-07:00

By GENE ZALESKI, T&D Staff Writer Tuesday, July 28, 2009

Interview: Ibrahim Al Janahi, Jafza

2009-07-26T08:56:00.000-07:00

This was taken from an interview with Ibrahim Al Janahi the Chief Commercial Officer for Jafza.

July 15, 2009

Looking at the broader picture, how does Jafza plan to expand its presence to other parts of the world?

The Jafza model has been very successful and we want to take it across the globe. This is being done by our holding company, Economic Zones World, which currently operates a free zone in Djibouti. In addition, we have penetrated the US market for the first time with a special zone that is being established in South Carolina.

Shortlist of firms for Jafza project ready

2009-07-26T08:50:00.000-07:00

26 July 2009
Jafza South Carolina yesterday finalised its shortlist of engineering firms that will receive a request for proposal to construct the infrastructure for the first phase of the company's debut US project - its logistics and multi-use commercial park in Santee, South Carolina.

The announcement comes on the heels of Jafza Managing Director Chuck Heath's mandate that South Carolina team press ahead with the company's cornerstone US project despite global economic challenges.

The firms selected are Aecom; Alliance Consulting Engineers; Arcadis; BP Barber and Seamon, Whiteside and Associates.

The finalists include three South Carolina-based companies, Alliance, BP Barber and Seamon, Whiteside and Associates. Arcadis is based in Highlands Ranch, Colorado, while Aecom's headquarters is in Los Angeles, California.

Last week, Aecom announced that it had won two contracts totalling $60 million (Dh220m) to work on multi-use real estate development projects in the Middle East.

The bigger contract is for $45m, and it is to design and manage construction of the Al Raha Beach Development project in Abu Dhabi.

The other contract is for $15m to provide programme-management services for Knowledge Economic City in Madinah, Saudi Arabia.

by Dan McCue

Jafza considering 5 engineering firms

2009-07-23T06:43:00.000-07:00

By T&D Staff Thursday, July 23, 2009

Jafza South Carolina LLC announced Wednesday it is considering five civil engineering firms for the construction of the first phase of its planned logistics and multi-use commercial industrial park.

Five civil engineering firms will receive a request for proposal to construct the infrastructure of project’s first phase.

“All of the civil engineering firms that submitted a qualifications packet had excellent credentials,” said Clint Murphy, Jafza’s vice president of engineering and operations.

“The competition was tough and we feel confident in the firms chosen to potentially develop the first phase of our project,” he said.

The firms selected are:

* AECOM

* Alliance Consulting Engineers

* Arcadis

* BP Barber and Associates

* Seamon, Whiteside and Associates

All the firms have South Carolina offices.

Details on phase one are being revised and are expected to be released next month.

“Until we get a better understanding of the timeline on the U.S. 301 modification, we are focusing our efforts on plots of land that have existing access and are ready for business today,” Jafza spokesperson Tara Robertson said.

The Request For Proposals will be issued to the firms once the plans are finalized, Jafza officials say. The RFP will request more specific information, as well as a firm lump-sum price and schedule for providing the work.

In 2007, Jafza acquired more than 1,300 acres in Orangeburg County for a logistics, warehouse, light manufacturing and multi-use commercial complex.

The park will include light manufacturing, light industrial space, a public intermodal facility, a truck plaza, warehousing and mixed-use offices and commercial uses.

Company officials are still shooting for an early 2010 ground breaking, with the first tenants expected by early 2011.

Jafza, industrial parks' potential have county optimistic

2009-07-13T06:40:00.000-07:00

By GENE ZALESKI, T&D Staff Writer Sunday, July 12, 2009

With fewer industries to woo in the midst of a recession, Orangeburg County officials are focusing on the strongest sectors and getting industrial parks ready for the moment when things start moving again.

“Automotive is not moving right now,” Orangeburg County Development Commission Executive Director Gregg Robinson said. “So what we are targeting now (are) distribution, advanced metals, plastics, construction materials. We are targeting sectors of the economy that are doing well.

“I feel like we have hit bottom.”

Robinson said the county is continuing to prepare property for industries in anticipation of an economic uptick, although the down economy has made obtaining funding for industrial parks more challenging.

“Resources are strapped,” he said. “Everybody is doing everything they can to cut costs. We have to be realistic because there are needed services that are going unfunded. We are being very cost-conscious.”

n Jafza

Officials with Jafza Americas say the global economic downturn has brought unforeseen but not insurmountable challenges.

“Many of our existing clients are re- assessing their expansion plans,” Jafza spokeswoman Tara Robertson said. “This also affects U.S. companies that want to explore globally. Our project is market-driven, therefore, things may appear slow now, but we hope to be ready for the upturn.”

Robertson said an early 2010 groundbreaking — initially set for October 2009 — is still targeted with the eventual build-up based on market forces. The first tenants in the park are expected by early 2011.

“We have maintained good relationships with many reputable financial institutions that are ready to help us on a project-specific basis,” Robertson said.

Jafza first announced in September 2007 it intended to make a $600 million to $700 million investment near Santee. Plans call for a 1,322-acre logistics, manufacturing and distribution park that will include light manufacturing, light industrial space, a public intermodal facility, a truck plaza, warehousing and mixed-use offices and commercial uses.

In light of the economic downturn, Jafza officials have publicly said they will focus on the development of the Santee site, and put on hold potential projects in Virginia, Ohio and Texas.

In the meantime, Robertson says the company is working with the U.S. Army Corps of Engineers on its environmental permitting process.

“This is a very detailed and tedious process,” Robertson said. “We feel confident we will have the permit this fall.”

Robertson says Jafza is also in the process of looking at engineering firms to help with the project design. The company expects a short list of firms to be announced in the near future.

Robertson said Jafza is also actively working with its sister company, Gazeley UK Limited, to market the site.

“We are soft-launching our marketing efforts until we get a permit in hand and learn more about the timeline of when U.S. 301 will be on line,” Robertson said. “We do have plots that are ready for build today and we are focusing our efforts on those plots.”

Robertson said the company is talking to several national and international companies, though she said it would be premature to release the names of the companies.

Another issue related to the project is the proposed upgrade of the U.S. 301/Interstate 95 interchange.

Robinson said a meeting was held recently with the S.C. Department of Transportation Highway Commission as well as the local legislative delegation to discuss funding opportunities, design plans, possible modifications and future public hearings.

“We are also working on the access roads with the county and with Jafza,” Robinson said. “I am not going to speculate on the design of the roads. We have a lot of work ahead of us as far as the best route and the best design.”

The total cost of the interchange project is estimated at $25 million. The county is also working to secure funds to extend U.S. Highway 301 to S.C. Highway 6, a project that could cost upward of $35 million.

About $15 million has been secured for the road improvements from a variety of federal, state and local sources, Robinson said.

n Orangeburg County

Industrial Park

Robinson said the county is currently in the process of selling about 5 acres in the Orangeburg County Industrial Park on Rowesville Road. The 5 acres are adjacent to Mars Pet Care.

There are currently talks with a Charleston developer to build a 50,000-square-foot speculative building on the site.

“It is a solid sign for the economy and for us that someone is willing to come in and build a speculative building,” he said. Specifics on the talks were not disclosed.

Robinson said the property has access to rail and interstate within 6 miles.

Also, the county is working with the city to develop about 80 acres adjacent to the Orangeburg Municipal Airport runway, Robinson said.

The development would require the creation of another road to connect current roads to the property. The site would be rail-accessible since the county has brought in rail spurs to Ecka Granules and ACO Distribution. The rail spurs were funded through grants and the private sector.

“We would like to target aviation-related projects,” Robinson said.

n County/City

Industrial Park Phase II/

speculative building

The second, 220-acre phase of the Orangeburg County/City Industrial Park is complete and ready for tenants, Robinson said. The road work, infrastructure and lighting is complete.

“We have created a campus format,” Robinson said. “The idea is to really clean it up and make it nice.”

Columbia-based development company The Miller-Valentine Group broke ground in January 2008 on a $5 million, 150,000-square-foot speculative building at the park.

Robinson says the building has been shown both nationally and internationally over the past year.

The building, which is expandable to 300,000 square feet, is situated on about 21 acres across the street from Allied Air and next door to H.T. Hackney.

“This is a drawing card for Orangeburg,” Robinson said, noting it has curb appeal as well as being adaptable to office and other possibilities. The building can also be divided for several tenants.

Robinson said he also expects a new tenant to move into the park adjacent to elevator guide rail manufacturer Monteferro.

He declined comment on project specifics.

n ‘A difficult year’

World Trade City Orangeburg LLC announced in February 2008 its plans to develop land near Bowman and Interstate 26, at Exit 159, into a four-phase business center that eventually could draw $1 billion in investment and bring 1,000 jobs over a 10- to 15-year period.

A mixed-use logistics center, which will combine office and exhibition space with warehousing and distribution facilities, is planned.

The first phase of the four-phase project is projected to cover 1,200 acres.

The company’s chief executive officer, Jimmie Gianoukos, said discussions have been held with prospective investors interested in the project though a large-scale commitment has been put on hold.

“The good thing about it I think is that it will definitely come to fruition when our time comes,” Gianoukos said. “It is not our time nor too many other people’s time. I would say we are still alive and well. I spend time with it every week. We are on everyone’s radar in the state.

“It is the matter of timing now with the economy.”

Gianoukos said the property has been shown to potential investors within the past few weeks.

“We are not dead and gone,” he said. “We are far from that right now.”

Gianoukos said hopes are the project will come out of the ground by the end of 2010 or early 2011.

n John W. Matthews Jr.

Industrial Park

This park, named after Bowman Sen. John Matthews, is situated on about 542 acres at the intersection of U.S. Highways 301 and 176.

The land is currently being cleared with a $500,000 road already paved through the property.

Robinson said the park has everything except a wastewater system — at this time — and will have water tied in through the fall through the Lake Marion Regional Water Authority project.

The permitting is in place to construct a gravity-fed wastewater system and a million-gallon water facility. The projects could begin in the near future. The first phase of the water project will cost between $3 million and $7 million.

Designing and landscaping plans are under way at the park.

“We cannot go to construction without adequate water and sewer,” Robinson said.

About $1 million from capital project sales tax money will be spent on water and wastewater lines from the town of Bowman along S.C. Highway 210 to Interstate 95, Exit 165.

Additional money from the penny tax also will go toward tying in water lines to the industrial park.

n Western Orangeburg

County Industrial Park

Additional due diligence is ongoing, including surveys and environmental studies.

When asked about a construction timeline, Robinson replied, “I don’t want to speculate. It is in the very preliminary stages. We will need additional funding to create the needed improvements.”

Robinson said it may be 2012 before there is any significant activity.

In August 2008, county economic development officials purchased about 230 acres of property on S.C. Highway 389 and U.S. 321 and near S.C. Highway 4 that will be developed into a logistics and manufacturing park. The cost was about $2,500 to $3,500 per acre.

The county has about 100 acres under option.

Robinson said county officials are still working with about 24 landowners to purchase land for the industrial park.

The remaining owners hold parcels ranging in size from 1 acre to 70 acres.

“We have to design the park based on what we can obtain,” Robinson said. “We are not going to condemn property. If we cannot secure the needed property, all that does is make that park less likely to succeed.”

n County prepares new

park to lure industry

The county has started clearing land for a new industrial park near the intersection of U.S. 601 and Interstate 26.

The 95-acre Carolina International Park, situated on Industrial Boulevard, will have about a quarter of a mile of interstate frontage, as well as Norfolk Southern rail, water, sewer, gas and electricity.

“It is ready for somebody to come in,” Robinson said. “We have shown it a bunch.”

“We could literally deliver rail off the main spur,” Robinson said. “It is turnkey.”

The property is situated behind Mayer Industries and Zeus Industrial Products.

A road has been cut into the property so it can be shown to prospective buyers.

T&D Staff Writer Gene Zaleski can be reached by e-mail at gzaleski@timesanddemocrat.com or by phone at 803-533-5551. Discuss this and other stories online at TheTandD.com

Unblocking Panama canal's bottleneck

2009-07-13T06:29:00.000-07:00

Spanish-Italian consortium set to scoop biggest slice of $5.25bn expansion project

Rory Carroll, Latin America correspondent
The Guardian, Saturday 11 July 2009

Panama has steamed ahead with a massive expansion of its canal to keep trade between Asia and North America flowing through the waterway.

It has revealed bids for the main contract in a $5.25bn plan to widen the canal, clearing the way for one of the world's largest and most lucrative infrastructure projects.

The Panama Canal Authority, an autonomous government agency, ended months of speculation last week by determining the "best-value" bid from three rival consortiums, signalling the almost certain winner.

The consortium, led by Spain's Sacyr Vallehermoso and Italy's Impregilo, significantly undercut its rivals with a $3.12bn bid to build new locks that will double the canal's capacity and accommodate a new generation of super-size container ships.

The bid was well under the canal authority's target price of $3.48bn and appeared to meet technical requirements. A technical board will verify the canal authority's assessment before the deal is confirmed.

"This event marks a critical milestone for the Panama Canal Authority and Panama," said Alberto Aleman Zubieta, the authority's chief executive. "We look forward to awarding the contract in the coming days."

The new locks, one on the Atlantic entrance, the other on the Pacific Ocean, will consolidate central America's isthmus as a gateway for global trade.

"As far as shipping is concerned this is massively important," said Mark Page of Drewry Shipping Consultants in London. "It is the single biggest shipping infrastructure project since they built the original canal."

The project, which needs 5,000 workers, is due for completion in 2014 to coincide with the 100th anniversary of the original inauguration of the canal, an engineering feat considered one of the modern wonders of the world that cost more than £600m to build. More than 25,000 workers died in its construction over 10 years.

A $50m bonus will be paid for meeting the deadline. Despite the global economic slowdown, the 50-mile waterway needs widening. Burgeoning traffic levels have left long lines of vessels queuing to cross from either side in recent years. Some ship-owners pay huge sums to jump the queue. A US cruise ship, Disney Magic, last year paid a record $331,200 for the privilege.

The canal, which moves about 5% of the world's cargo, relies mainly on container traffic between Asia and the US eastern seaboard. But the new generation of so-called post-Panamax vessels, which are 1,400ft long, cannot fit and Panama risked losing them to the Suez canal and US railways which transport containers coast to coast.

Panamanian voters overwhelmingly backed the expansion in a 2006 referendum. The canal authority is borrowing $2.3bn, including $400m from the Inter-American Development Bank.

Work is well under way. Hillsides have been blown up and a four-mile access channel on the Pacific side, which will permit passage of vessels three times heavier than the current limit, is nearly completed.

The biggest logistical challenge is building a third set of locks. They will measure 1,400ft long, 180ft wide and have a 50ft draft, all significantly bigger dimensions than currently. Catch basins will recycle 60% of the water used to fill the locks, in contrast with the present system which flushes it all out to sea.

The three consortiums submitted proposals, costings and technical designs in March. To allay concerns over corruption the cost estimates were kept in sealed envelopes in a vault at the government-owned Panama national bank along with the project's target price. Deloitte was hired as a contracting auditor to monitor technical evaluation.

The envelopes were opened in a ceremony in Panama City broadcast live. A computer and projector were used to tally points for each bid based on cost and technical specifications.

The front-runner scored marginally better than its rivals on technical issues and, with a bid of $3.12bn, emphatically better on cost.

A group led by Bechtel, the San Francisco-based construction giant, which included Japan's Taisei and Mitsubishi corporations and China's Wuchang shipyard, bid for $4.18bn.

A consortium led by Spain's Grupo ACS bid for $5.98bn. It was the only group to include a UK sub-contractor, Mott MacDonald, a London-registered engineering consultancy.

Panama's president, Ricardo Martinelli, said he was "pleased" the lowest bid was below the canal authority's target price.

The biggest losers from the canal's expansion are expected to be US west-coast ports and railways. Another casualty will be Nicaragua's dream of building a rival canal, always a long shot for Central America's poorest country.

The strait story

Linking the Atlantic and Pacific was first mooted in the 16th century by the conquistador Vasco Núñez de Balboa, who reported to the Spanish king that if a natural strait was not found "it might not be impossible to make one".

Ferdinand de Lesseps, the French builder of the Suez Canal, tried in the 1880s but marshy terrain doomed his sea-level plans, and malaria and yellow fever killed thousands of labourers.

The US, thanks to locks and drugs to combat disease, succeeded in 1914. Its military kept control of the canal zone, a sore point in Latin America, until President Jimmy Carter signed a treaty in 1977, ceding control to Panama in 2000.

MeadWestvaco, Rockefeller Group break ground on logistics park

2009-06-22T06:26:00.000-07:00

By Molly Parker
mparker@scbiznews.com
Published June 19, 2009

Donning suits and hard hats, politicians joined officials from MeadWestvaco Crop. and Rockefeller Group on Thursday afternoon as the two companies broke ground on their joint-venture logistics park near Jedburg.

Initial work will begin on road improvements to a one-mile stretch of Drop Off Drive in an effort to make that frontage road ready to handle truck traffic. The groundbreaking also kicks off work on the site pad for the first of four planned buildings. The goal is to create a plot where a building could be erected in a matter of months if a tenant is secured.

“It really — especially today, in today’s financial environment, it takes collaboration to pull off a project like this,” Ken Seeger, president of MeadWestvaco’s Community Development and Land Management Group, said after the groundbreaking during a ceremony at High Cotton in downtown Charleston.

MeadWestvaco originally planned to sell its land there to Rockefeller, but the two groups announced in May that they were partnering on the development. Through its land division, headquartered in Summerville, Virginia-based MeadWestvaco has shifted its real estate focus in recent years and has now entered the development business.

This deal marks the first of its development efforts to get under way.

Ed Guiltinan, vice president and regional director of Rockefeller Group, called the groundbreaking a “significant step” after three years of planning and negotiations with other area developers and Berkeley County officials.

The road work will be done by Banks Construction, the site work by Landmark Construction. Colliers Kennan is handling the leasing for the project.

MeadWestvaco and Rockefeller Group plan to eventually build 2.7 million square feet of warehousing and light industrial space on a 400-acre plot.

Dallas-based Hillwood Development Co. and Trammell Crow Co. also are planning commerce parks in Jedburg, in addition to the facilities already operating there that are owned or have been sold off by Spartanburg-based Johnson Development Associates. In total, the area — considered a prime location because of its proximity to the Port of Charleston and Interstates 26 and 95 — is expected to eventually house a combined 17 million square feet of industrial space.

Hillwood, Trammell Crow and Rockefeller had planned to have speculative buildings out of the ground by now, but the economy has slowed those plans. Guiltinan said that several companies are eyeing the property, though competition for new business is stiff.

Berkeley County Supervisor Dan Davis called the deal “very exciting,” especially considering the amount of work it took to iron out the details. Those details include a deal in which the four developers, in conjunction with the county and state, agreed to help pay for road improvements.

“This is going to help us out of the doldrums,” Davis said.

In the short term, the road project and site preparation work are expected to create about 45 jobs. But state and local leaders say the buildout of all four industrial parks could create thousands of jobs in the long run.

“We’re going to try to load up the port again,” said Sen. Paul Campbell, R-Goose Creek. “We’re going to try to grow business, and we’re going to try to grow employment.”

Reach Molly Parker at 843-849-3144.

Beach Co. outlines plans

2009-06-19T12:45:00.000-07:00

SUMMERTON — After waiting nearly five years since purchasing more than 3,880 acres outside downtown Summerton, the Beach Co. of Charleston believes it will finally begin to break ground on development projects in the area by next spring.

Kevin O'Neill, vice president of development for the company, spoke with Summerton Town Council on May 26 to give an update about the project.

"(Summerton Town Administrator) Bruce (Behrens) suggested it might be a good idea for me to come," O'Neill said. "As he may have told you, we're working diligently on producing the legal agreements necessary to guide the process."

O'Neill said the legal agreements were part of three separate sets of documents the company would rely on to guide the project, which will bring 7,000 new homes to the area during a 15-year period once construction begins.

"The second document that's equally important is the Planned-development District Plan," O'Neill said. "It's not a legal document, but it will likely be helpful to town council and everyone else because it will provide an executive summary of the project as well as pictures of what we're planning to do. This document will also tell the story and history of the land, talk about the concept of the development and the vision for site development."

The third document is an economic impact study. While O'Neill would not talk about specific numbers, he did say that the study showed favorable results for Summerton and Clarendon County at-large.

"We're probably to (within a week of being able to submit this document)," O'Neill said. "One of the things we're working on right now is how to translate it into benefits for the town. From what we've seen, the data indicates that of the benefit they see, 80 percent of the impact to the county is felt or is achieved by the closest and local municipality. Having said that, I really don't want to release (hard) numbers just yet, but I can tell you that the impact to the town, county and state are very significant and very positive."

Robert Baker / LakeSide
Bonnie Agnew, store and boat landing manager for Jack's Creek Marina, works in the kitchen at the landing.

- advertisement -

The company purchased the land for $10.3 million in 2005. They named it Cantey Bay in 2007 after Teige Cantey, who immigrated from Barbados to Charleston in the 1600s. In September 2008, the company purchased Jack's Creek Marina, proposing to provide a new waterfront area with new docks, vacation cottages or "hospitality units," and a new restaurant.

Some of those projects are already under way.

"We have the kitchen up and running now," said Bonnie Agnew, store and boat landing manager for Jack's Creek Marina. "They haven't started any big construction yet, but they have repaired the docks and we have an electric license now."

Agnew said the company had also cleaned the marina.

"They came in and cleared up some of the abandoned boats and campers," she said. "I think people finally know that we want the community to come out here and have a nice time."

Agnew said that she believes residents were wary of the Beach Co. initially because they thought the business might make the landing at Jack's Creek private.

"I think people were scared of that," she said. "But now, I think they can see that hasn't happened and people have been coming out here. The restaurant's been steady, and they hope to have some of the (cottages) up by next spring. That's what they're telling me."

O'Neill told council that he would probably come back to speak to them in late August or early September.

Summerton resident Patty Stewart asked O'Neill about the probability of the new development taking away from downtown Summerton.

"I get asked all the time, 'Why do you want to annex into Summerton?'" O'Neill answered. "We like a lot of things we see happening in Summerton. You have great things going on on Main Street and this is a unique shopping area. Together, I think with us being a part of the town of Summerton, I think that we can encourage and promote (the) spending of money in downtown Summerton so that we can be a part of the greater community. I think we can achieve a lot more by annexing in. And I think we can help the town continue to thrive."

Robert Baker / LakeSide

- advertisement -

When completed, the development will feature 5,300 single-family homes and 1,600 multi-family homes, according to company partner Scott Parker. Using Charleston as an example when he spoke to Summerton residents a year ago, Parker said houses would be built with their front yards rather than their back yards facing the lake. Streets will run along the lake's edge and parks will be along the shore.

"And, of course, throughout all of this, we are concerned with protecting and enhancing our natural resources," he said, adding that of the 3,880 acres, only about 48 percent of it will be developed space. "Fifty-two percent of that won't be touched by development with buildings, although it might be touched by enhancing it with a park.

"I've made it publicly known that regardless of where plantation is, this will always be Downtown Summerton. We may be talking 10 years out. In the immediate future, I think we have the consensus that government center stays where it is. Whether this particular lot or across the street. We don't have any plans to move town hall to Cantey Bay."

Contact Staff Writer Robert Baker at bbaker@theitem.com or (803) 435-8511.

Despite economic downturn, Panama Canal project continues

2009-06-15T09:41:00.000-07:00

Chris Kraul

Special to the Los Angeles Times

Sunday, June 14, 2009

PANAMA CITY, Panama — The economic downturn has stalled big construction projects across the globe, but in Panama, smoke-belching steam shovels and dredges work around the clock on what people here call simply "la ampliacion," or the expansion.

As soon as this month, officials will award the principal contract for the $5.25-billion expansion of the landmark Panama Canal, a project that will probably alter global shipping patterns and cement this Central American nation’s place as a center of global logistics.

“This is a financial crisis, and there has been a decline in ship traffic, but we are very much on time and on target,” said Panama Canal Authority chief executive Alberto Aleman, addressing rumors that the global recession could cause the project to miss its 2014 scheduled completion date.

The authority is on the verge of choosing among three international consortiums, including one led by San Francisco based Bechtel, to build two sets of locks to accommodate massive container cargo ships. Dubbed post-Panamax, the super-sized vessels are capable of carrying three times more cargo than ships now transiting the canal.

The construction of the two new locks -- one at the waterway’s Caribbean entrance, the other on the Pacific Ocean -- will cost $3 billion or more, take five years to complete and require an army of 5,000 construction workers.

The winning consortium is expected to use the contract’s marquee value as one of the world’s highest-profile construction endeavors as a calling card to bid on other major infrastructure projects around the globe. The canal authority maintains the expanded canal will make Panama an even more important transit hub by attracting a bigger share of Asian container freight destined for the eastern U.S. Currently, 70 percent of that cargo is offloaded at Los Angeles, Long Beach, Calif., and other North American ports and moved by rail or truck across the country.

“There will be a migration of freight to the canal, the implication being that Los Angeles and Long Beach ports will take the hit,” said Mark Page of Drewry Shipping Consultants in London. “The U.S. rail lines will also suffer.”

Despite the recession gripping the U.S. and other destination countries, the 9 percent drop in global container traffic forecast for 2009, and a financing scheme that assumes rising traffic and tolls, Panama’s Aleman said the expansion project is moving forward and will not be deterred.

“We factored in a margin of error and we are ahead of the projections,” he said.

A new four-mile access channel on the Pacific side is 85 percent excavated and dredging is under way. The new segment will be much deeper than the existing canal, allowing passage of quarter-mile long ships carrying 14,000 cargo containers, compared with maximum 4,500-container ships that now transit the 50-mile waterway.

The winning contractor will be awarded a $50 million bonus if the expansion is done by 2014, the 100th anniversary of the Panama Canal’s completion by the U.S. Army Corps of Engineers.

The canal expansion project is already having a ripple effect in Southern California. The Los Angeles and Long Beach ports each have launched expansion and streamlining projects valued at hundreds of millions of dollars to improve their competitiveness with an expanded Panama Canal.

“We’re using the down time to improve our infrastructure,” said Los Angeles port marketing director Mike DiBernardo, referring to his facility’s 16 percent decline in container traffic over the first three months of 2009. The port’s plans include the expansion of three terminals and improved wharf access for rail lines.

Long Beach port spokesman Art Wong said his facility has put in motion a 10-year plan to invest $1.6 billion in upgrades of piers and rail access, a response he attributes partly to the tougher competition the port expects from the Panama Canal, as well as from port projects in Mexico and Canada.

(End optional trim)

But global shipping companies are wary of the rising tolls the canal is charging to fund the expansion. Michael Kristiansen, Latin America operations chief for Danish shipping giant Maersk, said the expanded canal will divert some U.S. freight away from U.S. West Coast ports, but how much will depend on transit times and the impact of the canal’s toll hikes.

Another factor is whether U.S. ports on the Eastern Seaboard make changes to accommodate the biggest ships. Ports including Savannah, Ga., Charleston, S.C., and Miami are currently too shallow, and the Bayonne Bridge currently blocks their access to the Newark, N.J., port, the most important in the New York area.

As a defensive measure, Maersk and other shipping lines serving the Asia to eastern U.S. routes are taking a close look at westward routes through the Suez Canal. Although Maersk is not yet diverting traffic away from Panama, it plans to open a Suez route for post-Panamax ships in the near future, Kristiansen said.

In addition to the Bechtel-led consortium that includes Japanese partners Taisei Corp. and Mitsubishi Corp., two other groups also placed bids in March for the contract. They include teams led by Grupo ACS of Spain and another led by Sacyr Vallehermoso of Spain and Impregilo of Italy.

The locks will employ a “water savings basin” that will allow recycling of 60 percent of the water used to fill them. Canals in Germany currently use the system, said Jorge de la Guardia, the canal authority’s locks project manager.

He said the project so far has not experienced serious set-backs such as those faced by original canal builders. Those included malaria and yellow fever that killed thousands and the difficulties of digging through highly unstable “cockroach shale,” which kept sliding into the excavations.

Still, rumors that the canal project might face delays gained momentum when the authority extended the deadline for proposals to March from December and when a fourth bidder, a French-Brazilian consortium, dropped out of the bidding.

“You have to look at the long term,” Aleman, of the canal authority, said. “Yes we’re in a financial crisis but there have been others in the past. And Panama still has the best route for Asian traffic.”

Economic Zones World’s Gazeley wins huge admiration in UK for its Inventive Sustainable Initiative

2009-06-02T09:03:00.000-07:00

Gazeley, an Economic Zones World subsidiary and global provider of sustainable logistics space, announced that its latest green initiative, an Elizabethan Perfume Garden, created using modern day cutting-edge sustainability has won two prestigious awards at the recently held Chelsea Flower Show in the UK.

The sustainable project was built in collaboration with UK based architect Laurie Chetwood and landscape designer Patrick Collins, leading experts from P & G Prestige Products and Gazeley’s long-standing construction partners.

Combining inventive architectural and sensory elements, the garden project has been awarded the Gold Award and the Most Creative Award for its innovative concept, environmentally sound design and effective use of progressive green technology. The Most Creative Award is a discretionary prize, presented only when the judges feel that the design of a garden has set new standards of imagination and innovation.

Salma Hareb, CEO of Economic Zones World said: “Gazeley’s new initiative breaks new ground in sustainable architecture. The garden project is not only an enchanting aesthetic experience but also a landmark eco-friendly undertaking that will inspire similar developments in the future. Sustainability is key to operational efficiency and corporations worldwide have now made eco-initiatives a central part of their business strategy. As a company committed to sustainable developments, Economic Zones World, through this project, reiterates its commitment to keep providing innovative solutions for our global clients and the communities we serve.”

Gazeley’s pioneering sustainable technologies and an original recipe for rosewater infused perfume created by Queen Elizabeth I in the 16th Century were the inspiration for the garden. The central perfumery incorporates a sculptural wind turbine to power the lighting and irrigation of the garden. It is fed from this central feature with water and electricity from the borehole/ rainwater harvesting, photovoltaic panels and the wind turbine. The garden wall is cedar and incorporates ecological features such as insect ‘hotels’ as well as wet and dry habitats. It is lit at night using the included national resources in the form of side emitting fibre optics.

Jonathan Fenton-Jones, Director of Sustainability and Global Procurement at Gazeley said, “Gazeley is proud to be supporting the perfume garden at this year’s Chelsea Flower Show. It is essential the people understand the importance of how sustainable processes and technologies can easily be applied to modern day developments.

“Combining modern day construction and sustainability has been central to Gazeley’s business strategy since 2001. Gazeley works with an array of experts that form the international sustainable virtual team to combine leading-edge materials, technologies and construction processes to create the most environmentally advanced logistics spaces in the world.”

The garden is sponsored by Gazeley, Chetwoods, P&G Prestige Products, as well as co-sponsors Kingspan, Kelly Taylor, Simons Group, Capita Symonds Structures, Atlas Ward and SJ Berwin.

Lawmakers decide rail ownership, direct SPA to sell Daniel Island property

2009-05-15T14:25:00.000-07:00

By Molly Parker
mparker@scbiznews.com
Published May 14, 2009

As lawmakers scramble to wrap up the current session, state senators sent the governor a massive state budget bill Wednesday that also transfers property rights of a controversial railroad line in North Charleston to a division of the S.C. Department of Commerce.

And in the House, lawmakers overwhelmingly gave key approval to a bill that would have far-reaching financial and governing implications on the S.C. State Ports Authority, forcing the agency to sell its valuable Daniel Island property by 2012, among other things.

Budget bill bequeaths railroad
The exchange of railroad ownership to Commerce from the Charleston Naval Complex Redevelopment Authority — the state entity created to divvy out the land when the Navy base closed — is called for in a one-paragraph amendment tucked inside the budget bill that stretches on for hundreds of pages.

The redevelopment authority is currently in a legal battle with the Noisette Co. over who has rights to the track and the land underneath it.

Noting it is a “very big budget bill,” Gov. Mark Sanford’s spokesman, Joel Sawyer, said the office is “not ready to weigh in on specific provisos yet.” The budget bill requires Sanford’s signature to become law.

Sanford has already promised swift veto action on budget items related to federal stimulus money, but he has yet to weigh in on this explosive regional debate about providing dual rail access to the Port of Charleston’s customers.

Commerce wants the rail line so that S.C. Public Railways has the option of operating an intermodal facility on the former Navy base property and running a rail line through the northern end of the former base — something Mayor Keith Summey opposes and promises to fight in the courts. S.C. Public Railways also says ownership is necessary because it uses the line currently to serve customers on the former base.

“Access from the north exists today,” said Jeff McWhorter, president of S.C. Public Railways. “This just provides ownership of the rail line to S.C. Public Railways of a line we’ve been operating on since the mid-’90s.”

North Charleston officials did not immediately return a call seeking comment.

Sen. Larry Grooms, R-Bonneau, sponsored the amendment. He said previously that the purpose is to preserve the state’s right to run rail out of the north, in case a compromise cannot be brokered allowing Norfolk Southern and CSX equitable access via rail lines to the south of the SPA’s new container terminal.

Meanwhile, lawmakers in the House voted 103-4 Wednesday to move a bill to the Senate that restructures the S.C. State Ports Authority board and mandates the SPA to sell property where it is not operating a terminal, among other things. As it stands, the bill is a drastic departure from the original version sponsored by Grooms, and passed earlier in the session by the Senate. The upper chamber would still be required to sign off on it before it moves to the governor.

The deadline was extended for passage of this bill beyond next week’s scheduled adjournment.

Among the key tenants in S. 351:

Orders the S.C. State Ports Authority to have its Daniel Island property under contract by 2011 and to close a deal by 2012.
Deeds the Daniel Island land to the state’s Conservation Land Bank or to Berkeley County — there are conflicting amendments — if the agency cannot sell the property by that year. The SPA owns 1,300 acres there where it had planned to build the Global Gateway terminal.
Mandates that the SPA sell the now-defunct Port of Port Royal land in Beaufort County by December 2010.
Requires the port to pay $800,000, or 10% of proceeds, whichever is greater, from the sale of the Port of Port Royal property for the construction of a public boat ramp on the northern end of Broad River in Beaufort County.
Says that members of the General Assembly can require the SPA staff to turn over confidential materials related to the negotiation and sale of these properties and forbids lawmakers from sharing the information with the public.
Sets the terms of all current board members to expire Jan. 15, 2011, though nothing prohibits the reappointment of a sitting member. A new governor will be in place by then and would have the authority to clear the entire board.
Requires the governor to appoint one member to the board from each of six congressional districts, plus one at-large member.
Establishes that the secretary of commerce and the secretary of transportation serve on the board as ex officio members.

The railroad amendment in the budget bill says:
“Any, track, spur, switch, terminal, terminal facility, road bed, right of way, bridge, station, railroad car, locomotive or other vehicle constructed for operation over railroad tracks … and all associated structures and equipment that was necessary for the operation of any railroad located on an applicable federal military installation … shall be transferred, and immediately vest, in fee simple absolute, to the Department of Commerce, in the Division of Public Railways.”

Orangeburg seeks $278m for Charleston railroad plan

2009-05-12T06:23:00.000-07:00

By MOLLY PARKER, Charleston Regional Business Journal Tuesday, May 12, 2009

Orangeburg County has filed a request seeking $278 million in federal funds to help implement a controversial rail plan that calls for construction of an intermodal facility on the former Navy base in North Charleston and running trains through the base’s northern end.

The proposal to U.S. Rep. Jim Clyburn also requests money for a separate intermodal facility on the Macalloy property on the base’s southern end, several rail overpasses in North Charleston and a rail line running into Orangeburg County, where Jafza International is planning to build a massive logistics park.

“Orangeburg and Jafza understand that, unless this issue is addressed and corrected in Charleston, their project is in trouble,” said Jeff McWhorter, president of S.C. Public Railways, a division of the S.C. Department of Commerce that would purchase the Orangeburg rail line, according to the proposal.

Though only a portion of the requested funding is for projects in Orangeburg, McWhorter said, “That was the avenue by which we ended up pursuing money for Charleston, as well.”

The proposal specifies the locations for the rail yards, but McWhorter said he doubts that a federal funding commitment would be contingent upon sticking to those plans. Furthermore, he said, funds were submitted for both rail yards with the understanding “that one or the other would work.”

North Charleston Mayor Keith Summey has promised a legal fight against any state entity that attempts to force rail through the northern end of the former Navy base.

Last week, Summey said he was frustrated that he was not consulted about the federal funding request.

“This is one of those things that annoys you. People don’t talk to you,” Summey said. “I think it’s a little unusual the subject wasn’t broached with us. If the two locations are off the Navy base and in the south end, we’d be more than happy to work with them. I would think they would at least want to talk with us, get our opinion, what-have-you.”

The S.C. State Ports Authority is building a new container terminal on the former Navy base property, and the Noisette Co. has designed a live-work community there — and Summey is adamant that rail not run through that city-backed business and residential development.

The aim of the proposal, McWhorter said, is to secure enough federal funds to build rail yards that would service both of the region’s Class 1 railroads — CSX and Norfolk Southern — and provide them equal access to the Port of Charleston’s customers.

Gregg Robinson, executive director of the Orangeburg County Development Commission, called the rail plan, and the request for federal funds to implement it, “a regional concept to a statewide problem.” The proposal was presented to Clyburn, the House majority whip, who helped spearhead the Jafza project, and to other members of the S.C. congressional delegation, Robinson said.

“The statewide problem is we do not have adequate rail currently and we need to improve it,” Robinson said.

Orangeburg officials also want to ensure that both CSX and Norfolk Southern can service the Jafza project, which includes plans for millions of square feet of warehousing and manufacturing space in that county.

A portion of the requested federal funds is for the potential purchase by S.C. Public Railways of CSX’s line running between Creston and Harleyville adjacent to the Jafza property.

If S.C. Public Railways owns the line, the companies at Jafza could access CSX and Norfolk Southern services through his agency, McWhorter said. As it stands, CSX is “not agreeable to that,” McWhorter said, but the federal money was requested in case the railroad company changes its mind and decides to negotiate.

Robinson said his opinion is not “relevant at this time” about where the rail yards should be situated in the Charleston region.

“What I’m trying to accomplish is of mutual benefit to a number of different parties, and we’re working via S.C. Public Railways to get this accomplished,” Robinson said. “This is a team effort to try to improve our overall approach to be able to handle business.”

Robinson said now is not the time to point fingers about why this plan was not put into place earlier.

“Let’s move forward,” he said. “We know it’s a problem; we have to collectively come together and figure out how to best solve the problem. We are going to continue to lose market share if we don’t fix it.”

On the Web: www.charlestonbusiness.com

Gazeley's G.Park Blue Planet at Chatterley Valley awarded first BREEAM

2009-05-06T08:15:00.000-07:00

Global provider of sustainable logistics space, Gazeley, today announces that its new completed £50 million scheme, G.Park Blue Planet at Chatterley Valley, is the first development in the world to be awarded the new BREEAM (Building Research Establishment Environmental Assessment Method) “Outstanding” rating (design stage). This is the highest sustainable accolade available in property development.

On average G.Park Blue Planet scored 85.49%, which classifies it as outstanding under the new tougher 2008 ratings for environmental performance introduced in June 2008. The development scored particularly well under the BREEAM rating in the management, health & wellbeing and water (all 100%); energy (87.5%); and waste (85.71%).

Jonathan Fenton-Jones, Director of Sustainability and Global Procurement at Gazeley said, “Receiving the first BREEAM ‘outstanding’ rating is the highest recognition for Gazeley’s focus on sustainable logistics. With G.Park Blue Planet at Chatterley Valley, we believe we have created an industry blue print for cutting-edge developments. Not only does it deliver significant environmental savings, it also creates total energy and water cost in use savings of up to £300,000 per annum.”

Gazeley partnered with Newcastle-under-Lyme Borough Council and regional development agency, Advantage West Midlands (AWM) to create the world’s greenest logistics developments as part of the first phase of the wider Chatterley Valley park, North Staffordshire.

Located on a former colliery site, G.Park Blue Planet at Chatterley Valley is a 35,500 sq m development that was recently completed. It houses the UK’s first truly carbon positive logistics development, with its own biomass micro power station. What sets this development apart is that 100% of the energy and heat is supplied by renewable sources. This has helped it exceed the UK Governments Climate Change Bill targets for both 2020 and 2050 in 2009.

Paul Gibbon, Director of Sustainability at BRE Global, the developers of BREEAM, said, “Obtaining the first ever BREEAM outstanding is a remarkable achievement. This development scored very highly in all sections of BREEAM and achieved exemplary credits on the key areas of daylighting, reduced CO2 emissions, construction waste management and use of low carbon technologies. What is more the development shows that achieving a high BREEAM standard can also mean lower running costs.”

The sustainability credentials that have led to this prestigious award include:

Thermally efficient buildings with air tightness and thermal insulation
Kinetic plates which capture energy every time a vehicle enters or leaves the site
Efficient systems for further building energy reduction, utilising cutting-edge lighting, maximum use of natural light, under floor heating and an energy panel wall
The latest solar cell technology implanted into special rooflights which eliminate night time light pollution
The majority of materials used in the building being either A or A+ rated in BRE Globals’ Green Guide to Specification
The development targets zero waste send to landfill

Steven Holland, Head of Asset Management at regional development agency, Advantage West Midlands, said, “We’re delighted to see the hard work at G Park Blue Planet being rewarded. It is truly one of the most exciting developments we have in the West Midlands region. This is a tangible example of moving talk about climate change into demonstrable action, and showcases the West Midlands as a region which is embracing the opportunities of the new low carbon era.”

The overall Chatterley Valley park is a joint venture between Advantage West Midlands and the North Staffordshire Regeneration Zone, Newcastle Borough Council, Stoke-on-Trent City Council and Staffordshire County Council. The park totals 70 hectares of land that will be transformed over the next decade, creating a total of around 4,000 jobs.

A Short List of Top Logistics Locations

2009-04-20T06:14:00.000-07:00

Which locations are ready to handle your next logistics facility?

Christopher Steele, President, CWS Consulting Group LLC (LDW: Logistics, Distribution & Warehousing 2009)

As global trade continues to change along with fluctuations in the value of the dollar, fuel costs, and the overall state of the economy, several communities stand as true winners in the global logistics game. The lists that follow contain cities that have performed well in diversified screenings in the recent past, are poised to capture significant new volume, or are otherwise likely to be centers of innovative logistics activity.

Of course, as with any ranked list, it is important to note that each and every location decision is unique and reflects the specific requirements of a company as it works to meet the needs of its customer base efficiently. Hence, there are a lot of good locations that will not appear below that will serve as excellent bases of operations for some companies. Likewise, the locations below will not work for every company’s need.

No specific weighting and ranking has been used to develop these lists. While tempting, such a concept would provide a false ranking for the reasons cited above. As a result, these lists are — to some degree
— subjective.

Top - 10

U.S. Distribution Logistics Locations
1. Northern Illinois/Indiana
2. Riverside/San Bernardino, CA
3. North Central Texas
4. Central Georgia
5. Greater Kansas City (KS, MO)
6. Memphis, TN
7. Eastern PA (Lehigh Valley, Scranton/Wilkes-Barre)
8. North Carolina Piedmont
9. Northwest Virginia
10. New Jersey

Port-Related Intermodal Sites
1. Los Angeles/Long Beach, CA
2. Port of New York/New Jersey
3. Norfolk, VA
4. Jacksonville, FL
5. Savannah, GA
6. Charleston, SC
7. Houston/Galveston, TX
8. Prince Rupert, BC
9. Lazaro Cardenas, MX
10. Guaymas, MX

Emerging Logistics Locations
1. Central Ohio (Rickenbacker/National Gateway)
2. Prince Rupert, BC
3. Guaymas, MX
4. Lazaro Cardenas, MX
5. Savannah, GA
6. Winter Haven, FL
7. Orangeburg, SC
8. Fayetteville, AR
9. Toledo, OH
10. Cleveland, OH

Reinvestment in the legacy freight hubs of the United States has gained steam over the past couple of years. In general, the above locations provide access to the largest and/or most rapidly growing consumer bases in the Unites States. All have very strong multimodal connections, and what had been the historic mega rail hubs of Chicago, Memphis, Atlanta, and Dallas from decades past have all experienced new growth in trucking and air, and have seen dramatic new re-investment in rail. This growth has been particularly strong in the Southeast, where investments in new manufacturing facilities, port expansion, and rapid population growth have converged to drive a major need for investment in the distribution network. This is particularly relevant to the regions around Atlanta, Central Florida, and North Carolina. Southern California continues to experience dramatic growth through the repackaging and distribution of goods entering from the Pacific Rim. Other areas such as Eastern Pennsylvania and Northwest Virginia serve as alternate, lower-cost distribution locations to the heavily populated Northeast, while trying to avoid some of the congestion along the I-95 corridor.

Port capacity in the United States is strained, with large investments along both coasts attempting to compensate for limited capacity and increasing regulation at traditional U.S. ports. Los Angeles capacity issues and environmental regulations have spurred growth in both Mexico and Canada as a means to satisfy the need for imported goods from Asia. Also gaining — as a result of Pacific trade seeking easier routes to large U.S. markets — are the new ports of Lazaro Cardenas and Guaymas in Mexico and Prince Rupert in British Columbia. All have direct links to less-congested Class I rail mainlines. Lazaro Cardenas will expect up to 700k TEU per year in Phase I, expandable to 2.0m. Guaymas will be built to a 850k TEU capacity.

Certainly Los Angeles/Long Beach and New York/New Jersey have — and will continue to have —
a very large share of overall port-related activity, but Norfolk, Savannah, and Charleston have experienced and will continue to gain significant growth in the near term due to the size constraints in the Panama Canal. Other facilities such as Melford in Nova Scotia may soon join this list once they become fully operational.

Port-related intermodal facilities create an interesting challenge in that they require new and innovative approaches to utilize limited property available along the waterfront. In the case of most legacy port cities, investigation into agile port systems and other initiatives have become more numerous as the country copes with its current capacity issues. In addition to better utilizing space, ports have also started to become increasingly conscious of the environment. This is most relevant in the ports of Los Angeles and Long Beach, where strict environmental regulations are scheduled to take effect in the coming months and years, with limits on the types of fuel and number of trucks into and out of the port among some of the more stringent guidelines.

As transportation has grown more important, investment is taking place in some expected and, indeed, some unexpected places. Major infrastructure hubs are upgrading facilities and infrastructure to help to improve the ability of goods to flow through their system. The goal for many of these locations is to serve as alternative ports of entry or waypoints to the traditional logistics hubs, allowing those operators to relieve congestion and mitigate the impact of increased population growth and trade on any one particular location.

Two of the largest investments are occurring in the state of Ohio, with Norfolk Southern’s Rickenbacker project and CSX’s National Gateway project. Both are expected to serve as alternatives for multimodal transportation, with an added benefit of mitigating the downturn in the economy by creating jobs in one of the regions most in need. Other areas, such as Toledo and Cleveland, are expected to gain through increased water traffic through the St. Lawrence.

Top - 10

In addition to those projects, CSX is investing additional monies into a large intermodal facility in Winter Haven, Fla. JAFZA (Jebel Ali Free Zone Authority) has created a U.S. headquarters near Orangeburg, S.C., and is working to develop a multimodal distribution concept in order to serve the rapidly growing Southeast consumer market. Such developments also provide useful solutions to community environmental concerns and demands for reduced traffic, while serving increasing and changeable consumer demand.

In Texas, Dallas, San Antonio, and the areas along the Gulf Coast are all working to increase capacity both as a means to accommodate a growing consumer base, as well as to accommodate increased container and import traffic coming over the Mexican border from the growing Mexican ports of Guaymas and Lazaro Cardenas. As container volumes shift to these ports, increased development in infrastructure for handling the entry of these containers must be developed. Union Pacific is currently developing an intermodal terminal in San Antonio expected to handle many of these consumer goods. In addition, Southern Dallas is investigating the development of logistics and supply-chain facilities and is already home to Union Pacific’s Southern Dallas Intermodal Terminal, a potential BNSF intermodal facility, and the Lancaster Municipal Airport, a future cargo airport.

All in all, this is a very exciting time to be working with logistics and shipping. Shippers have rediscovered the value of diversity in their shipping options, and this rediscovery results in a host of opportunities for communities and developers in looking to accommodate these changes. Some of the communities on these lists are at the forefront of preparing for these changes and are poised to be real centers of major activity for the next quarter century.

Chris Steele is president of CWS Consulting Group LLC. He was formerly with TranSytems’ real estate consulting group. With over 17 years of direct experience in real estate, location, and development advisory, he has worked with a wide range of industries and users, ranging from banks and high-tech companies through heavy industry and intermodal development.

Making the top 10

2009-04-20T06:04:00.000-07:00

By GENE ZALESKI, T&D Staff Writer Monday, April 20, 2009

The Orangeburg County Development Commission touts its trademark Global Logistics Triangle logo and slogan every time it has an opportunity.

Whether it is to a local audience or overseas, the triangle - bordered by Interstate 95, Interstate 26 and U.S. 301 - is a prime selling point for the county's economic development arm.

The promotional efforts have worked.

Orangeburg is listed as the seventh top 10 emerging logistics location in the February/March 2009 issue of Area Development Site and Facility Planning magazine.

The bimonthly magazine touts itself as 'the leading executive magazine covering corporate site selection and relocation." The publication has approximately 45,000 subscribers.

The Orangeburg area was ranked as the result of plans by Jafza Americas to build a 1,324-acre industrial park near Santee.

Jafza is a subsidiary of Jafza International, a Dubai-based Economic Zones World company.

"It is a prestigious magazine and one that is recognized as a voice for the development of the our nation," OCDC Executive Director Gregg Robinson said. "It is one that industries and companies consider as a resource in the site-selection process."

Robinson said the ranking speaks volumes about how Orangeburg, which typically is tied into the Charleston and Columbia markets, has come into its own.

"Being recognized is a large part of Jafza and is also in part due to our Global Logistics Triangle," he said, explaining that development is on the horizon. "It is coming and we have to be prepared from an industrial standpoint and a space component to assist our ports."

The article, titled "A short list of Top Logistic Locations -- Which locations are ready to handle your next logistics facility," was written by Christopher Steele, president, Real Estate Line of Business, TranSystems Corp.

TranSystems is a transportation and logistics consulting company based in Missouri.

Steele says the rankings - though acknowledged as subjective - are based on locations believed to be poised to capture new cargo volumes.

The study notes that Orangeburg and Jafza are working to "develop ... a multimodal concept in order to serve the rapidly growing Southeast consumer market."

"Such developments also provide useful solutions to community environmental concerns and demands for reduced traffic, while serving increasing and changeable consumer demand," the article states.

Orangeburg ranks behind Winter Haven, Fla., and ahead of Fayetteville, Ark., as emerging logistics locations.

Central Ohio (Rickenbacker/National Gateway) ranks as the top site.

In addition to emerging logistics sites, the study also ranked the top 10 national distribution logistics sites and port-related intermodal sites.

The Port of Charleston is ranked sixth in port-related intermodal sites with the Savannah, Ga., port ranked fifth. County officials have said Orangeburg could capture volumes from both ports.

Central Georgia is listed as the fourth top distribution logistics location.

The magazine cites the increasing investments in new manufacturing facilities, port expansion and rapid population growth in the Southeast as driving a major need for investment in the distribution network.

The article goes on to note that port capacity in the United States is strained, with large investments along both coasts attempting to compensate for limited capacity and increasing regulation at traditional U.S. ports.

With increasing congestion at larger ports, Norfolk, Savannah and Charleston have experienced and will continue to gain significant growth in the near term due to the size constraints in the Panama Canal, the article states.

n

T&D Staff Writer Gene Zaleski can be reached by e-mail at gzaleski@timesanddemocrat.com or by phone at 803-533-5551. Discuss this and other stories online at TheTandD.com

South Carolina trade mission to visit Dubai and Abu Dhabi

2009-03-23T11:45:00.000-07:00

By Dan McCue on Monday, March 23, 2009

A delegation of 24 officials and businessmen from Orangeburg, the US county in which Jafza Americas is developing its $600 million (Dh2.2 billion), 1,324-acre project, is in the UAE on South Carolina state's first trade mission to the UAE.

The delegation is being led by Lieutenant Governor Andre Bauer and includes representatives of state and local governments and businesses.

It also includes members of the South Carolina legislature, officials from Orangeburg County, representatives of one of the state's largest law firms, it's largest electric co-operative, and the University of South Carolina.

The names of businesses participating in the mission, that arrived on Friday and will visit both Dubai and Abu Dhabi over the next eight days, are being kept confidential by the South Carolina Department of Commerce, which is facilitating the trip.

However, six of the participating companies are receiving "Gold Key Service" from the US Commercial Service during their stay, meaning they will have a series of meetings set up with potential buyers of their products while in the UAE.

The trip pairs South Carolina businesses and officials with potential trade partners in the UAE, according to Kara Borie, spokeswoman for the Department of Commerce.

Later this year, the department will facilitate trade missions to Poland, Columbia, and two missions to Panama.

Last week, the department and South Carolina State Ports Authority announced the state's export total reached $19.8bn in goods sold to 193 countries in 2008, a 20 per cent rise in exports over 2007.

Revamped Jafza plan focuses on Santee

2009-03-12T07:19:00.000-07:00

By DAN McCUE, Special to The T&D Thursday, March 12, 2009

The ongoing economic uncertainties of the global economy have caused Jafza Americas to revamp plans in the United States, a move that will put full emphasis on plans for 1,324 acres in Orangeburg County.

Jafza, a subsidiary of Jafza International, a Dubai-based Economic Zones World company, will now focus on the physical development of the central South Carolina site, for the time being forgoing potential projects in Virginia, Ohio and Texas.

“This is not a retrenchment,” said Chuck Heath, managing director and senior vice president of Jafza International, who is visiting South Carolina this week to meet with government and economic development officials as well as representatives of the S.C. State Ports Authority.

“What we have done is take a decision that we want Santee (the community adjacent to Orangeburg, and the one who’s name Heath uses when speaking of the project) to keep moving,” he said. “We’ve got very good friends and supporters here and there’s no reason to stop the project in light of the current economic difficulties.”

Although Health conceded that the timing of when ground will be broken on the project is largely dependent of when the federal government finally gets banks to start lending again, he strongly asserted the economy’s current travails “don’t mean we can’t continue to move forward.”

“Obviously, Santee is still in the development stage. We’re fine-tuning our strategy, but we are not divesting anything. Those projects (in other locations) that we have not committed to have stopped; but if we’ve bought land and have committed, we’re committed. As far as North America goes, we’ve decided to settle all of our resources and assets on Santee.”

A sign of Jafza’s continued seriousness in regard to the project is selection of Nexsen Pruet, which has offices in Columbia, Charleston and Myrtle Beach, to serve as its attorneys here.

In addition, Heath said Jafza is in receipt of its wetlands jurisdictional letter from the U.S. Army Corps of Engineers, which it had to secure before formally applying for development permits for the first phase of the project. The letter deals with wetlands mitigation and other environmental issues.

“We are most definitely making progress,” Heath said. “But in this economy, things sometimes will go more slowly than you might like.”

Continued growth

Speaking directly to the economic global crisis, Heath said the biggest effect in Dubai has been in the property development sector. A major player like Nakheel, one of Jafza’s sister companies, has had to reschedule, postpone and even cancel some projects.

By contrast, Heath said, Dubai Ports, the sister entity most closely aligned with Jebel Ali, Jafza’s massive logistics and warehousing park and namesake, “has been doing extremely well in a difficult environment.”

“We will slow to single-digit growth this year, but we’ll still experience growth,” he said. “Of course, the problem is, we’ve grown accustomed to double-digit growth.”

Jafza itself, meanwhile, is moving forward with the development of phase II of its free zone project in Djibouti, after a phase 1 consisting of light industrial units, warehouses and office facilities sold out.

“It’s the most modern container shipping terminal in East Africa,” Heath said with evident pride.

Its parent company, Economic Zones World, is also moving ahead with business park developments in China and India.

Turning his comments back to the South Carolina project, Heath said in an economic climate where there are limited resources available, it’s important to commit to having your assets generating revenue.

“No matter what business you’re in, whether you are selling ballpoint pens or airplanes, you always need to generate revenue – and that’s another reason to really hunker down and focus on Santee. Right now, I’m sitting here with an asset that’s not generating revenue. And in this climate, I’d rather have only one such property for a short time than two and longer range hopes for development.”

The Santee plan

Clint Murphy, vice president of the Jafza International’s Americas operation, said in moving forward with actual construction, Jafza would likely emphasize building to suit for committed tenants rather than creating building on spec for prospective tenants.

“Obviously, some spec buildings will remain part of the mix as we move forward with the 135-acre first phase of the project, but given what’s going on in the economy right now, we have a little bit less of an appetite for that right now,” he said.

The plan is now to build the first buildings on the site in early 2010.

“Right now I’d say we’re in client/relationship mode, rather than aggressively marketing the site,” Heath said. “I mean, how can you market a site when I can’t tell them precisely where the access road will be or where the utilities are – all of which will become clear later this summer when we expect to reward the design contract?”

“Until then, we’ll continue to introduce potential clients to who we are and what we are doing,” he said. “And that will take place mostly outside of the Middle East, our local market, where Jafza is already a well-known entity.”

As an example of the kind of outreach Jafza is already doing, Heath pointed to a reception hosted in India last month by the S.C. State Ports Authority.

“I was invited to participate and make a presentation and was happy to do so,” Heath said. “It’s all about awareness-building.”

Heath was scheduled to meet for the first time with John Hassell, the ports authority’s interim president and CEO, on Wednesday, and with Gregg Robinson of the Orangeburg County Development Commission on Thursday to discuss continuing such efforts.

The revamping of its strategy was accompanied by the departure of Steven Eames, who has overseen the project since Jafza bought the property for $22-24 million in September 2007.

Eames, a former member of the Australian Special Forces and a veteran of infrastructure planning for three Olympic games, became known as something of a planning visionary through his work on the project.

Over the course of the project’s first year, Eames focused on improving the road and rail efficiencies for the site, believing that those efficiencies would be a value-added, not just for Jafza’s customers, but also for the state of South Carolina as a whole.

His leaving the project comes just days after the Orangeburg County Development Commission began to circulate a proposal to create a $700 million “global logistics corridor” linking the Port of Charleston to the Global Logistics Triangle in Orangeburg, and then to the Columbia Metropolitan Airport, where time-sensitive cargo could be flown out of the state.

“I’m a supporter of the corridor, and frankly, that concept was one of the reasons we made the decision to go with the South Carolina site, as opposed to the two or three others we were looking at back then. If you remember, after we talked to Congressman Jim Clyburn, Gregg and the folks at the OCDC, and heard their explanation of what the logistics triangle and corridor could be, we made a decision on Santee in 24 hours,” Heath said.

Moving forward

The first real day of acting on its new focus will come Thursday, when Jafza Americas will open the requests for qualifications it requested from professional civil engineering firms interesting in competing for the design, permitting and construction administration work for the first phase of what will ultimately be a $600 million project.

Murphy said the design work would include coming up with plans for the roads and utilities that will need to crisscross the Jafza property, and “perhaps the design of some building pads.”

The Request for Qualifications was sent to more than 50 civil engineering firms that have expressed interest in Jafza. Firms receiving the RFQ are mainly from South Carolina, though some are from Georgia.

Jafza will select no more than six firms through a private evaluation process, and only then will those firms be asked to submit requirements to a Request for Proposals.

As Heath indicated, finalization of the RFP is expected this summer.

“Sometimes, given the state of the economy, it seems like we’re working a little harder than we used to,” Heath said. “But in the end, the results will show that it was well worth the effort.”

Dan McCue is an independent business journalist and writer in Charleston.

Centerpiece of $700 million Land for inland port would be given by Jafza

2009-03-09T10:19:00.000-07:00

By DAN McCUE, Special to The T&D

Concerned that far more than a soured U.S. economy is eroding the state's position in the global supply chain, the Orangeburg County Development Commission is promoting a $700 million plan to create a "global logistics corridor" extending from the Port of Charleston to Columbia.

The proposal, outlined in a white paper distributed to the state's congressional delegation and the White House Office of Intergovernmental Affairs during a two-day trip to Washington in February, calls for the creation of a new freight rail shuttle service between Charleston and Orangeburg. Containers would then flow in all directions from a planned 61-acre intermodal yard.

Gregg Robinson, the OCDC executive director, said while much of the plan would fall outside the parameters of project deadlines of the $787 billion federal economic stimulus package, the stimulus should "free up some of the normal or traditional sources of funding, such as the federal highway fund, over the next several years."

That said, Robinson made plain that he sees the plan as part of the economic recovery process.

"What we're putting out there is a regional solution to a statewide problem -- a plan that will create hundreds of construction jobs in the near term and thousands of sustainable jobs over the next 20 years," he said.

"My philosophy is, build the infrastructure, add the value businesses need to be successful, and then get out of the way and let the private sector do its thing," Robinson said.

Politicians pushing

U.S. Sen. Lindsey Graham described the proposal as "one of the most transformational projects in South Carolina by creating thousands of new jobs and generating tens of millions of dollars in revenue at the local, state and federal level."

"I have been pleased to work with the Orangeburg County Development Commission in their effort to make the corridor a reality," Graham said, vowing to work with the commission, state leaders and their partners in moving the global logistics corridor forward."

U.S. House Majority Whip James Clyburn, who, like Graham, has been securing funds for infrastructure projects in the area since Jafza International purchased 1,324 acres in South Carolina last year, said he reiterated his support for the Global Logistics Triangle and the corridor now being promoted, during his meeting with Robinson and other Orangeburg County officials in Washington.

Clyburn dedicated $4.6 million in the House-passed omnibus appropriations bill for improvements to the I-95/U.S. 301 interchange adjacent to the site and $10 million for the Lake Marion Regional Water Agency, which will serve it.

He did so, he said, " to contribute to the success of this tremendous economic development initiative, and I will continue to support this project with available federal funds as they are needed."

Clyburn also inserted language into the federal economic stimulus package -- known formally as the American Recovery and Redevelopment Act -- that directs 10 percent of rural development funding in that law to persistent poverty counties.

The law defines "persistent poverty" as a county having a poverty level of 20 percent or more over the last 30 years. Orangeburg County qualifies as one of those counties.

"These funds could be helpful to the county in its efforts to develop the Global Logistics Triangle and help achieve the goal of job creation in the region," Clyburn said.

Joel Sawyer, a spokesman for Gov. Mark Sanford, said the proposal "represents a real opportunity for our state, of which we're still learning the details. We'll be following all of the various moving parts of this project as it goes forward."

The corridor is an extension, rather than a replacement of, the Global Logistics Triangle concept the OCDC has been employing as an economic development strategy for the past eight years.

At its heart will be a logistics and distribution park for the processing and distribution of both import and export cargo.

"The way we see it, the park will be a centralized, regional facility where multiple distribution centers will be located, along with ancillary businesses related to the movement of import and export cargo, such a trucking firms and logistics providers," Robinson said.

The Jafza link

The linchpin of the plan is Jafza South Carolina LLC, which has already invested more than $22 million in the development near the convergence of Interstate 95, Interstate 26 and U.S. 301.

The Dubai-based company has provisionally agreed to donate 61 acres of its site, as well as public access to all roadways leading to and from its property, for the creation of an intermodal hub.

The Jafza project, which will be developed in five phases through 2032, is currently undergoing zoning approval for its entire 1,300-acre parcel. The first phase of the project, expected to get under way later this year, will focus on light manufacturing and assembly-type businesses.

Robinson described the creation of the intermodal hub as a public-private partnership, with some of the players known -- Jafza, Orangeburg County, among them -- and others to be determined.

He said the creation of a shuttle service between the Port of Charleston and the intermodal hub is essential to the commercial viability of the global logistics triangle, but will also help to shift trucks away from the congested Charleston metropolitan area.

"The model we're pointing to in discussing the concept is Front Royal, an inland port created by the Virginia Port Authority in 1989 to compete with the Port of Baltimore in serving the lucrative Ohio Valley market," Robinson said.

Prior to the economic slowdown, the intermodal yard in Virginia was handling 30,000 cargo containers a year, reducing the number of trucks that had been contributing to congestion on nearby interstates, and serving to boost economic development in surrounding counties.

"We see this as adding value not just for one county, but for all of them, because there isn't a county in this state that is not in some way touched by the Port of Charleston," Robinson said.

From Orangeburg, some cargo would remain on rail, while the rest would leave the site by truck. The long-term plan calls for time-sensitive shipments to be directed to Columbia Metropolitan Airport.

"This really is about though-put," Robinson said. "We have an amazingly efficient port. In terms of container moves, it is one of the most efficient in the world.

"The creation of the intermodal facility and shuttle train system will only increase the volume of containers it can handle," he said.

Columbia airport

Michael Flack, executive director of Columbia Metropolitan Airport, said he didn't know anything about the proposal but said the airport would embrace the opportunity to be included in such a corridor.

"Certainly we would be happy to be part of that effort as it ties in to our air cargo operations," Flack said. "Our proximity to Orangeburg and Interstate 26 makes that an easy proposition.

"At the same time, both UPS and FedEx have good operations at this airport, so I would think that their participation would have to be helpful," he said.

Robinson deflected a suggestion that the proposal might be seen as favoring one developer -- Jafza -- over the Rockefeller Group, Hillwood Development and others developing distribution centers along the Interstate 26 corridor near Jedburg.

"I think this proposal will only enhance the success of their projects," he said. "Having more containers coming through the Port of Charleston rather than somewhere else is good for everybody."

Robinson also asserted that the plan would benefit truckers by moving their activities inland, and away from the overburdened roads around Charleston.

"There's an awful lot of backlash and conflict that they wouldn't have further inland, and they'd also be the beneficiaries of higher cargo volumes," he said.

Robinson said based on numerous studies conducted over the past five years, the corridor project would raise personal income in Orangeburg County by $130 million and generate an additional $382 million in additional business activity, while creating 3,765 jobs.

He said the project would also generate $450 million in additional business activity in the rest of the state, amounting to a $164 million increase in personal income in the state's other 45 counties, with the creation of an additional 5,294 jobs.

Robinson said if the strategy is implemented, by 2020, the county would be receiving an additional $12 million in tax revenue from activities directly related to the corridor, with the state receiving another $22.5 million, and the federal government approximately $54 million.

Rail connection

But Robinson readily conceded the plan is not without challenges and that even with state and federal support, some heavy lifting needs to be done -- particularly in regard to the rail connection between the Port of Charleston and the proposed intermodal site.

To begin with, he said, the efficiency of the shuttle service would be dependent on there being "dual, competitive rail access" to the port's terminals, including the new, $600 million facility being built at the former Charleston Navy base,

A memorandum of understanding between the S.C. State Ports Authority and the city of North Charleston currently prohibits cargo-laden trains from leaving the north side of the new facility, where the Norfolk Southern railroad's tracks enter the Navy base. CSX Transportation has rail access from the south side of the property.

The OCDC plan calls for the S.C. Public Railways to run the shuttle train between the port and Orangeburg, after acquiring sections of rail near Creston and Pregnall currently belonging to the respective railroads, and getting permission to operate over existing CSX and Norfolk Southern tracks between Pregnall and the terminals.

"In our view, S.C. Public railways is the entity best positioned to provide fair, equitable, efficient and competitive rail shuttle service under our proposal," Robinson said.

S.C. Public Railways, a division of the State Department of Commerce, is in effect a holding company that owns and operates three railroad companies; two terminal yard-switching operations within Port of Charleston facilities, and a short line railroad in Berkeley County that serves BP Chemicals and Nucor Steel.

S.C. Public Railways President Jeff McWhorter confirmed that "very preliminary" discussions with the two railroads have occurred, but declined to discuss the specifics of those talks.

"There are some real benefits to the rail component of the proposal, a big one being the better management of congestion on Interstate 26," he said. "Another benefit would be cleaner area around Charleston, while also increasing capacity for the ports."

McWhorter, who accompanied Robinson to Washington, said he came away from the series of meetings hopeful that the project could receive funding through the federal stimulus package.

"Something we did learn is that the whole idea of projects having to be shovel ready for the receipt of funding is something that will be continuously evaluated," he said.

Ports Authority

And then, there's the matter of the current state of the Ports Authority itself, the subject of three bills before the Legislature that could result in major changes to its operating structure.

Senate Bill 392 and House Bill 3128 would dissolve the ports authority board of directors and invest power in a new director to be appointed by the governor. Senate Bill 351, on the other hand, would retain the board structure but require members to have extensive business experience relevant to running the port.

The bill would also require the ports authority to draft long-range strategic and financing plans, and would require that whenever the new executive director of the ports authority is hired, their duties be explicitly spelled out.

State Sen. Larry Grooms, R-Berkeley, a sponsor of Senate Bill 351, said while aspects of the global logistics corridor proposal are laudable, "I think we have to determine precisely what kind of port we're going to have before we talk about spending money on infrastructure.

"We have a ports authority without an executive director, and a debate over the kind of ports authority board we have or even if we have one at all; there are still a lot of questions to be answered," he said.

But as he assessed the port, Grooms appeared to be in accord with key elements of the OCDC proposal, namely the rail connection to the north side of the Navy Base terminal.

Grooms described the MOU between the Ports Authority and the city of North Charleston as a "flaw in strategic vision."

"On a day-to-day basis, operationally, no one can touch us," he said. "But it was certainly short-sighted to cut off Norfolk Southern's access to the new terminal simply for the sake of a deal with North Charleston to ease resistance to the new terminal."

Offering his own assessment of the port, Robinson said, "Obviously, right now we are in a down time in terms of global trade, but that's precisely what makes now the time to act: We have time to establish a world-class and efficient infrastructure before the high-volume trade activity we've been seeing in recent years resumes, which everyone agrees it will."

Dan McCue is a journalist based in Charleston.

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