Partnership at Port Birmingham creating innovative warehouse project
Officials recently broke ground on a warehouse project that will enhance capabilities at Port Birmingham. (contributed)
The Birmingham Jefferson County Port Authority (BJCPA) has broken ground on a 25,000-square-foot warehouse at the Port Birmingham terminal in Mulga.
The facility, designed to store cold-rolled steel coils, is part of BJCPA’s first public-private partnership with Watco and aims to enhance the capabilities along Alabama’s inland waterways.
“The warehouse development project at Port Birmingham exemplifies the power of collaboration between local, county and state government,” said Mahari McTier, BJCPA chairman. “This catalyst project for the BJCPA will begin to position us as a key economic development engine in the region, and we look forward to playing a vital role in the growth and prosperity of the region.”
Funded by an inaugural inland port infrastructure grant from the Alabama Department of Economic and Community Affairs (ADECA), the project is a collaboration among the city of Birmingham, Jefferson County, state of Alabama, BJCPA and Watco.
“In evaluating the needs of the Birmingham region, the availability of warehousing near rail and waterway access emerged as a critical priority,” said Cody Gilliland, Watco sales director. “This facility will enable in-state steel producers to expand into new markets with their finished products, addressing current logistical constraints. Leveraging Birmingham’s extensive Class I rail connections, steel producers will be able to access previously untapped markets, thereby reducing their reliance on a limited geographic area.”
The project is expected to have an economic impact of $1.2 million, including an estimated retail sales impact exceeding $800,000. Officials believe it will be a catalyst for activity at Port Birmingham, solidifying its position as a key logistics hub in the region.
“By investing in our city’s infrastructure, we are not only ensuring sustainability for our economic future but also enhancing our visibility to organizations that may not have considered doing business in our community before,” said Cornell Wesley, director of Innovation and Economic Opportunity for the city of Birmingham. “Birmingham’s central location, with half of the country’s population within a day’s drive, positions us to become a supplier powerhouse. Furthermore, being just 400 miles away from the Gulf of Mexico provides us with additional advantages.”
The ADECA grant aims to bolster infrastructure along Alabama’s inland waterways.
“This is a huge step forward in the rebirth and future development of BJCPA,” said Jefferson County Commission President Jimmie Stephens. “It is perhaps the best-kept secret in economic development circles. It is now time to spread the word as we open this gateway to commerce and trade.”
The BJCPA commissioned an economic impact study from Dr. Keivan Deravi in 2022, which found the six main terminals operating within Birmingport had an estimated $128 million total economic impact, resulting in the creation of 1,452 full-time equivalent jobs, with a total payroll impact of $86 million.
“The inland port in Jefferson County is a vital component of Alabama’s growing economy,” said Sen. Greg Reed, president pro tempore of the Alabama Senate. “Its economic impact is felt throughout the area, and I am excited about this additional funding for the last component of their warehouse.”
The BJCPA is committed to such partnerships in growing Port Birmingham.
“This groundbreaking initiative represents a significant milestone in our ongoing efforts to bolster the economic vitality of Birmingham and Jefferson County,” said David Russell Jr., BJCPA executive director. “Through strategic partnerships and innovative investments in infrastructure, we are poised to unlock new opportunities for growth and prosperity within our community.”
