Price tag for Walmart e-commerce center to hit $102M

The total price tag for the massive Walmart e-commerce distribution center in Plainfield is expected to hit $102 million, according to state records filed Monday.

In June, Walmart announced that it planned to open the 1.1 million-square-foot fulfillment center on a 64-acre site in the AllPoints Midwest bulk industrial campus, creating 303 jobs by 2016.

A joint venture partnership of Browning Investments Inc. and Duke Realty Corp. has finished construction on the center, which Walmart has agreed to lease for 15 years, according to Charlie Podell, senior vice president of Duke’s Indiana and Ohio region.

At the time the project was announced, Walmart declined to reveal the total cost of the project. However, according to a contract for state incentives that was finalized Monday, the capital investment for the entire project is anticipated to be $102 million.

As part of the contract, the Indiana Economic Development Corp. has agreed to extend $2.2 million in conditional tax credits to Walmart for the project. The IEDC also has offered $200,000 in training grants to Walmart, but that deal is still in the works, according to an IEDC spokeswoman.

The cost of developing the building was about $50 million, Podell said. The developer's cost is included in the $102 million figure, according to Walmart spokesman Bill Wertz.

In the tax credit agreement, Bentonville, Arkansas-based Walmart pledges to hire 303 workers by the end of 2015. Their average hourly wage is redacted from the document.

In June, a Walmart spokeswoman told IBJ that the average hourly wage for the retailer’s 37,000 associates in Indiana was $12.70. On Tuesday, Wertz declined to reveal specific pay figures for the Plainfield employees.

Walmart plans to begin operations in the facility some time in 2015, Wertz said.

Please enable JavaScript to view this content.

Editor's note: You can comment on IBJ stories by signing in to your IBJ account. If you have not registered, please sign up for a free account now. Please note our updated comment policy that will govern how comments are moderated.

{{ articles_remaining }}
Free {{ article_text }} Remaining
{{ articles_remaining }}
Free {{ article_text }} Remaining Article limit resets in {{ count_down }} days.