Buckeye could gain 17,000 jobs

by Eric Graf - Oct. 17, 2008 11:18 AM
The Arizona Republic

A newly proposed industrial development in southwest Buckeye could bring more than 17,000 jobs to the town, officials said.

The Buckeye Logistics Transportation Center would stretch out over 11,000 acres near Arizona 85 and Old Highway 80, along the Union Pacific Railroad corridor. A rail switching yard would be a major component of the center, making it a hub of industrial activity.

"It's going to make a significant impact on the town," said Lori Gary, director of Buckeye's Economic Development Department. "It will guarantee huge gains in employment and the tax base."

The focus of the project is rail-served distribution, said Eddie Gutzman, manager of Nevada-based Benessere Land Holdings LLC, the developer behind the project.

"The current economy is creating demand for rail-served industrial sites as fuel costs rise," Gutzman said. "Rail freight is much cheaper than trucking freight."

The area, a collection of 14 parcels, was initially slated to be a housing development. But the real estate market has weakened and the town has shifted its focus to drawing employers. About 40,000 live in Buckeye, up from roughly 6,000 in 2000.

"We've had very rapid housing growth and employment has not grown at the same rapid rate," Gary said. "One of our goals is to bring in companies to provide jobs so people can live here and work here, too. There is an ample workforce to tap into."

If the projections are correct, the job offerings will be diverse, Gutzman said.

"It is anticipated that many distribution companies will locate in the project . . . so the jobs will include all levels, from dock workers to haulers, account managers to executives in every sector, including industrial and housing," he said.

Despite the challenges in today's depressed economic climate, Gary said both the developer and the town are moving ahead with the planning stages. They want to ensure they will be "ready to start marketing the industrial park when the market picks up," she said.

Gary noted the striking number of jobs the Buckeye Logistics Transportation Center could create is only an estimate and could change as the project moves forward. Most jobs would be at or above the state's median income of $17 an hour, according to Cheryl Covert, management assistant for the Economic Development Department.

The town is not covering any of the center's costs, nor did it provide incentives to the developer, Covert said. The town is only responsible for infrastructure needs, she said.

The Town Council is expected to review the project Tuesday.