The Kearney Companies Signs 10-Year Lease At Port NOLA’s New Uptown Facility

Saturday, July 6, 2024

Port NOLA acquires a 210,000 sq ft warehouse, signs a 10-year lease with The Kearney Companies, boosting cargo growth and local employment.

The Port of New Orleans (Port NOLA) unveiled the acquisition of a 210,000 square foot storage facility situated at 5200 Coffee Drive within the Uptown Port of New Orleans Terminal. This acquisition is bolstered by a new 10-year contract with The Kearney Companies, Inc., a Precision Terminal Logistics (PTL) subsidiary. This contract is a significant step in the ongoing partnership among Port NOLA, The Kearney Companies, and the New Orleans Public Belt Railroad (NOPB), which offers vital rail services to the port and links to the six major Class 1 Railroads (BNSF, CPKCS, CN, CSX, NS, and UP).

This lease marks the successful conclusion of extensive negotiations between Port NOLA and the former owner, ensuring the facility is well-equipped to boost both import and export activities. Under this agreement, The Kearney Companies will invest in significant upgrades and enhancements to the facility, approved by Port NOLA, underscoring a mutual commitment to meet customer demands, stimulate cargo volume growth, and promote ongoing employment opportunities in the area.

“We are thrilled to announce this agreement with The Kearney Companies, which marks a pivotal moment for our port and the surrounding community,” said, Ronald Wendel, Acting President and CEO of the Port of New Orleans and Acting CEO of the New Orleans Public Belt Railroad. “This facility will enhance our operational capacity and support economic growth by creating new jobs and opportunities. We appreciate the continued partnership with The Kearney Companies and PTL and look forward to long-term growth.”

The Kearney Companies’ collaboration with the New Orleans Public Belt Railroad (NOPB) now encompasses handling 3,000 rail carloads annually, with numbers still on the rise. Furthermore, The Kearney Companies manages nearly 20,000 containers each year and sustains 65 full-time positions in diverse capacities, such as administrative, trucking, and warehousing roles. The lease of the Coffee Drive facility contributes to this employment, supporting an additional 10 to 15 full-time jobs.

“We have been working with the Port of New Orleans and the previous owner of the warehouse for over 2 years on a lease that enables the Port’s purchase of the facility. Further, we have developed a transition plan that ensures the facility continues to play a strategic role in supporting international supply chains through the New Orleans Port and Rail gateway. Through mutual trust displayed by all parties in this transaction, we were able to work through several long-term, difficult maintenance items, and future capital investments that are needed to ensure the future viability of this specific warehouse facility. We look forward to supporting existing business like the CME and LME metals customers that have historically utilized this facility, as well as attracting other new shippers for this location,” said David Kearney, President of The Kearney Companies, Inc.

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