⏲︎ This article is more than a year old.

Nearly 3 million square feet of warehouse space has opened or is under construction in South Annville Township, with another 2.5 million square feet already planned. Here’s your guide to Lebanon County’s newest industrial park.

The industrial park is rising on land previously owned by MFS, which also has a “doing business as” name of Eastern Land Resources Co. Below you’ll find details on the current status of warehouse facilities for The Hershey Company, DHL, and NorthPoint Development.

Let LebTown take you on a bird’s eye tour….

The aerial view from Route 422 in South Annville Township. At foreground center is Rutter’s. At background center is the first of three warehouses being built by DHL as part of Clear Springs Logistics Park. At foreground right is a Eagle Point Logistics Center, being built by NorthPoint Development. At background right, in the distance, is a Hershey fulfillment center. (Will Trostel)
The aerial view of the same properties from the reverse above Killinger Road. At left is the Hershey fulfillment center; at center is Eagle Point Logistics Center; and at right is the first building in DHL’s Clear Springs Logistics Park. (Will Trostel)

DHL/Exel

DHL’s Clear Spring Logistics Park will contain 3 million square feet of warehouse space once the planned set of three warehouses is complete.

The first building to be constructed in DHL’s Clear Spring Logistics Park can be seen in the background. Rutter’s is in the foreground, at the intersection of Route 422 and Killinger Road. (Will Trostel)

The first building in DHL’s Clear Spring Logistics Park is tentatively scheduled to be completed around June 2024, said a DHL spokesperson. That appears to be the proposed warehouse “B” in the company’s original plans for the site – a 1 million-square-foot warehouse.

DHL map of Clear Spring Logistics Park submitted as part of an application for a grant from Pennsylvania’s Multimodal Transportation Fund.

DHL acquired the 198-acre site from MFS in August 2022 for approximately $20.1 million. The company estimates that it will spend $283 million on construction of the overall facility.

Read More: DHL spends $20 million on lot for Clear Springs Logistics Park

The company also received a $3 million grant from Pennsylvania’s Multimodal Transportation Fund to fund a planned roundabout at SR 934 and Clear Spring Road, as well as other transportation improvements. (Watch LebTown for an update on that project soon.)

Read More: RTK request reveals details of SR 934 roundabout, other improvements for DHL

The DHL project obtained a tax abatement under the Local Economic Revitalization Tax Assistance Act (LERTA) from South Annville in February 2022 (PDF).

Construction of DHL’s first building in Clear Spring Logistics Park is tentatively scheduled to be complete by June 2024. (Will Trostel)

“We are excited to build on DHL Supply Chain’s presence in central Pennsylvania, and are grateful for the partnership with S. Annville Township and Lebanon County for the support they have provided on this project,” said the spokesperson.

“Over the next few years we hope develop new operating sites and with that provide new employment opportunities for the community.”

DHL-subsidiary Exel Inc. owns the land seen here, behind Laudermilch Meats on Route 422. Once complete, Clear Springs Logistics Park will contain nearly 3 million square feet of warehouse space. (Will Trostel)

The Hershey Company

The Hershey Company was the first to begin construction of a facility in the burgeoning industrial park. Hershey bought its 90-acre site from MFS in June 2019 for $9.2 million.

Read More: Hershey Co. plans million square foot South Annville Township warehouse

Groundbreaking for the project took place in July 2020. The 800,000-square-foot fulfillment center became operational in October 2021, with an official ribbon-cutting ceremony in June 2022. Hershey estimated total project costs to be $178 million.

Hershey Company warehouse site in South Annville Township, shortly after July 2020 groundbreaking. (Will Trostel)

The facility is a digitally integrated manufacturing or production facility with attached warehouse space for storage. Currently production efforts are centered around the packaging of snack-size products from across Hershey’s manufacturing network into assortments for everyday and seasonal items.

The Hershey Company’s Annville Fulfillment Center has a headcount of 430 people right now, with that number to be close to 500 employees by 2025. (Will Trostel)

At present, the facility has a headcount around 430 people, according to Matthew Hawley, director of the Annville Fulfillment Center (AFC). The facility is jointly operated with DHL. Hawley said that there are 60 salaried positions (42 DHL and 18 Hershey) and 370 hourly positions (350 DHL and 20 Hershey).

Hawley noted that included in these counts are 19 Mechatronics Techs on the Hershey team and approximately 100 skilled positions (machine operators) with DHL.

“This is an important call out at this differentiates us from a warehouse in that these are higher paying positions than typical warehouse roles,” said Hawley.

Employment opportunities are projected to grow in the future.

“By 2025, we expect total full-time headcount for Hershey to grow to approximately 60 with the majority of the additional headcount comprised of additional Mechatronics Techs and salaried planning resources,” said Hawley. “DHL headcount is TBD but will be over 200 additional employees.”

Hawley said that the facility is performing very well right now, and ahead of projections.

“We have delivered on the strategic objectives of automating assortment bagging, delivering world class safety and quality, reoptimizing Hershey’s customer geography and providing momentum and learnings for Hershey’s transformation to digitally integrated manufacturing,” said Hawley.

Hershey’s original plans for the site included a 333,000-square-foot expansion, but no timeline has been established for its construction at this time.

Image shows the configuration of the warehouse facility and future expansion on a land development plan for the Hershey fulfillment center in South Annville Township.

“We’re pleased with the performance of the AFC to date, but don’t want to commit to timing for the next phase at this time,” said Hershey spokesperson Todd Scott.

Hershey received a LERTA tax abatement for the site from the township in July 2020 (PDF). The project also received $105,000 of Job Creation Tax Credits in 2020.

Hawley said that Hershey has pledged $100,000 to support the expansion of the Annville Free Library, and specifically build out of the youth library. The gift will include recognition of Milton Hershey.

Read More: Take a tour of the Annville Free Library’s ongoing $4.4 million expansion project

Hawley also mentioned partnerships Hershey has with the Annville-Cleona School District and Lebanon County STEM Workforce Development effort “to advance awareness of and opportunities for STEM careers in Lebanon County.”

NorthPoint Development

EaglePoint Logistics Center will be the next facility to open in the South Annville Township industrial park. A company spokesperson said the facility is nearing completion and expected to receive a temporary certificate of occupancy in June.

The EaglePoint facility will consist of a single 1.1 million-square-foot warehouse that can later be expand to 1.3 million square feet. The company said the building will feature 40-foot clear ceiling heights, up to 204 loading doors, 655 car parking spaces, and 308 dedicated trailer storage spaces.

EaglePoint Logistics Center, built by NorthPoint Development, is expected to be operational by this summer. The company has not said whether a tenant has been identified for the space, which is currently listed as being available for lease through JLL. (Will Trostel)

Additionally, the company said that the project will include cross-docked configurations (allowing items to be packed from a source without an intermediary storage step) and 185-foot-deep truck courts (providing easier maneuverability for users).

The EaglePoint Logistics Center is located along Route 422. Behind it, the Hershey Company’s Annville Fulfillment Center can be seen. To the left, a small portion of the first structure in DHL’s Clear Springs Logistics Park is visible. (Will Trostel)

A NorthPoint Development spokesperson said they are unable to disclose any information on behalf of any potential tenants, and that further buildout will be dependent on tenant needs, with no specific timeline to share at this point.

The property is being leased through JLL.

Site overview for EaglePoint Logistics Center from a property brochure available on JLL’s website (PDF).

The land for the EaglePoint facility was acquired by NorthPoint Development from MFS for just over $12 million in December 2021. NorthPoint Development has estimated total project costs to be $103 million.

NorthPoint Development obtained a LERTA abatement from South Annville Township in October 2021.

Video tour

Questions about this story? Suggestions for a future LebTown article? Reach our newsroom using this contact form and we’ll do our best to get back to you.

Support local journalism.

Cancel anytime.

Monthly

🌟 Annual

Already a member? Login here

Free news isn’t cheap. If you value the journalism LebTown provides to the community, then help us make it sustainable by becoming a champion of local news. You can unlock additional coverage for the community by supporting our work with a one-time contribution, or joining as a monthly or annual member. You can cancel anytime.

Something went wrong. Please refresh the page and/or try again.

Comments

LebTown membership required to comment.

Already a member? Login here

Leave a comment

Your email address will be kept private.