A new report by industrial and commercial market intelligence firm SalesLeads found the number of planned North American food and beverage facility projects slowed for a second-straight month in September, perhaps indicating a trend toward conservativism as the United States moves closer to a Presidential Election and winds down 2020.
SalesLeads’ monthly report tracking new such projects in North America showed 68 of them during September, down from 74 in August and 77 in July. The new figure more closely resembles that of 67 in June and 64 in May.
iStockThe firm’s September recap is broken down as follows:
- 47 projects were for processing facilities (55 in August, 57 in July, 43 in June, 39 in May)
- 30 were for distribution and industrial warehouse (33 in August, 21 in July, 20 in June, 20 in May)
- 17 were new construction projects (29 in August, 30 in July, 17 in June, 19 in May)
- 23 were expansion projects (24 in August, 23 in July, 19 in June, 17 in May)
- 31 projects entailed renovations and equipment upgrades (32 in August, 35 in July, 27 in June, 32 in May)
- There was one plant closure project (0 in August, 1 each in July, June, May and April)
- California led all US states with in planned food & beverage projects for a second-straight month with seven. Texas and New York each had five; Illinois and North Carolina each had four; the foursome of Washington, Ohio, Indiana and New Jersey had three apiece; and Kentucky had two.
During September, SalesLeads identified two new food & beverage facility construction projects with an estimated value of at least $100 million — the same as in August and compared to five in July. The largest September project comes from LiDestri Food & Drink, which plans to invest $314 million to construct a greenhouse, processing and distribution complex in Early Branch, SC. It has recently received approval and completion is of its first phase is expected in 2022.
iStockThe other largest food & bev. construction projects SalesLeads identified in September included:
- Specialty beverage maker Bang Energy, which plans to invest $145 million for the renovation and equipment upgrades on a 644,000-square-foot processing and distribution facility in Lithia Springs, GA.
- Produce supplier Howeling Tomatoes, which plans to invest $35 million to construct a greenhouse and processing facility in Jamestown, ND.
- Pet food manufacturer Hills Pet Nutrition, which plans to invest $31 million to expand their processing facility in Topeka, KS.
- Meat processing company Intermountain Packing, which plans to invest $20 million to construct a 50,000-square-foot processing facility in Idaho Falls, ID.
- Grocery chain Pete’s Fresh Market, which plans to invest $10 million for the renovation and equipment upgrades on a 50,000-square-foot warehouse space in Tinley Park, IL.
- Food processing company Mrs. Clark’s Food, which plans to invest $9.25 million for a 60,000-square-foot expansion and equipment upgrades at their processing facility in Ankeny, IA.
- Meat products maker Johnsonville, which plans to renovate and upgrade equipment of a recently-acquired 200,000-square-foot processing facility in Sheboygan, WI. The investment amount is unknown.
- Meat processing company Smithfield Foods, which plans to expand their warehouse and processing facility in Saint Charles, IL by 68,000 square feet. The investment amount is unknown.