By Rebekah Morris for Arizona Builder’s Exchange
Tucson Regional Economic Opportunities, Inc. (TREO), in partnership with the City of Eloy, announced that the United States Department of Commerce has approved its application to establish new Foreign Trade Zone (“FTZ”) magnet sites in Pinal County.
The U.S. Dept. of Commerce approved two new sites of the four that were submitted on the application, one in the city of Eloy and one in the county. Located within the strategic north-south distribution corridor known as the CANAMEX Corridor, the new FTZ magnet sites will play an important role in helping the State of Arizona improve cross border trade with both Canada and Mexico and attract manufacturing jobs to the state.
Under federal law, any business located within an activated FTZ will receive relief from trade barriers, including certain taxes and interventions from customs authorities. The designation is applied to sites that don’t currently have a tenant or building project as a way to attract manufacturers. A manufacturer can see that designation and know they won’t have to pursue it on their own, that process is already complete.
The magnet sites, which span more than 640 acres, include two industrial properties within Pinal County’s economic development and employment zone, Red Rock Industrial Park and Sunshine Industrial Park.
Two Industrial Parcels
Sunshine Industrial is a partially developed, 277-acre site with water and sewer access, located in the city of Eloy. The property includes multiple access points to key infrastructure that make it well positioned for freight distribution to major markets by both truck and rail.
Red Rock Industrial is a 367 acre property located adjacent to the Red Rock Interchange with approximately two miles of frontage along Interstate 10. It also fronts the Union Pacific Railroad’s Sunset Route and is adjacent to a proposed rail classification yard.
The sites are enhanced by their proximity to rail, ground and air transportation as well as having the size and entitlement infrastructure to accommodate large scale industrial users. Both sites are owned and/or managed by the Walton Group of Companies of Scottsdale, Arizona.
Designation Enhances Sun Corridor
Rob Leinbach, COO of Walton, explained that they don’t have any projects on the immediate development horizon for these sites, but rather, they felt the parcels were both well suited and would provide an important economic development tool to enhance the community by having the designation.
He went on to say that Walton is “bullish” about the Sun Corridor in general, and Pinal County in particular. As a firm, Walton owns or manages close to 10K acres in the region. They continue to see opportunity due to the physical location of the region: at the intersection of trade between California and Texas, and again between Mexico and Canada.