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Online retailer Newegg plans big distribution center

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Online electronics retailer Newegg.com is eyeing the Ameriplex World Connect park for a Midwest fulfillment and distribution center that would employ 150 people by the end of 2015.

The southern California-based company says it would put $15 million in new logistics and information technology equipment into a nearly 800,000-square-foot building at 6161 Decatur Boulevard, taking up more than half the space. The city's Department of Metropolitan Development is recommending a seven-year partial tax abatement in exchange for the investment.

Newegg also says it would hire 150 people through 2015 at an average pay of $11.50 per hour, according to a DMD staff report prepared for the Metropolitan Development Commission. The commission will hold a public hearing on the abatement proposal Oct. 16. 

DMD staff said Newegg is considering several sites for the Midwest facility, but did not mention the other locations.

Ameriplex developers are optimistic about Newegg's arrival. The company would set up shop in a recently completed logistics facility built on a speculative basis. They've already broken ground on a second spec building in the World Connect Park, based on Newegg's plans, according to city staff.

The Newegg investment would add $5.9 million to the tax base, and the company would pay $441,508 in personal property taxes over the life of the seven-year abatement, according to DMD. The abatement would save the company $723,421, or 62 percent of its tax bill, over that period.

After the abatement expires, the company is expected to pay $134,415 in annual personal property taxes.

Newegg, founded in 2001, says it is the country's leading electronics-focused Web retailer, with 18 million registered customers and $2.5 billion in annual revenue.

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  1. So much for Eric Holder's conversation about race. If white people have got something to say, they get sued over it. Bottom line: white people have un-freer speech than others as a consequence of the misnamed "Civil rights laws."

  2. I agree, having seen three shows, that I was less than wowed. Disappointing!!

  3. Start drilling, start fracking, and start using our own energy. Other states have enriched their citizens and nearly elminated unemployment by using these resources that are on private land. If you are against the 'low prices' of discount stores, the best way to allow shoppers more choice is to empower them with better earnings. NOT through manipulated gov mandated min wage hikes, but better jobs and higher competitive pay. This would be direct result of using our own energy resources, yet Obama knows that Americans who arent dependent of gov welfare are much less likely to vote Dem, so he looks for ways to ensure America's decline and keep its citizens dependent of gov.

  4. Say It Loud, I'm Black and Ashamed: It's too bad that with certain "black" entertainment events, it seems violence and thuggery follows and the collateral damage that it leaves behinds continues to be a strain on the city in terms of people getting hurt, killed or becoming victims of crimes and/or stretching city resources. I remember shopping in the Meadows area years ago until violence and crime ended make most of the business pack you and leave as did with Lafayette Square and Washington Square. Over the past 10 to 12 years, I remember going to the Indiana Black Expo Soul Picnic in Washington Park. Violence, gang fights and homicides ended that. My great grandmother still bears the scares on her leg from when she was trampled by a group of thugs running from gun fire from a rival gang. With hundreds of police offices downtown still multiple shootings, people getting shot downtown during Black Expo. A number of people getting shots or murdered at black clubs around the city like Club Six on the west side, The Industry downtown, Jamal Tinsley's shot out in front of the Conrad, multiple fights and shootings at the skating rinks, shootings at Circle Center Mall and shooting and robberies and car jackings at Lafayette Mall. Shootings and gang violence and the State Fair. I can go on and on and on. Now Broad Ripple. (Shaking head side to side) Say It Loud, I'm Black and I'm Ashamed.

  5. Ballard Administration. Too funny. This is the least fiscally responsive administration I have ever seen. One thing this article failed to mention, is that the Hoosier State line delivers rail cars to the Amtrak Beech Grove maintenance facility for refurbishment. That's an economic development issue. And the jobs there are high-paying. That alone is worth the City's investment.

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