Las Cruces approves land purchase for Artico Cold Storage facility

LAS CRUCES, NM – The Las Cruces City Council approved the purchase of a property in the Las Cruces Industrial and Innovation Park (LCIIP) and financial support of up to $281,400 for the installation of Artico Cold Storage.

Said approval, signifies the first new construction in the Las Cruces Industrial Park since 2016. Both ordinances were approved by the Cabildo in the session of last April 4, in an attempt to detonate the region as an attractive area for investments.

In a first agreement, the City Council approved the real estate purchase between the City and Karis Acquisitions, a limited liability company (LLC) for the sale of 11 thousand 204 acres in the LCIIP for the amount of $375 thousand 200.

The property is located at 360 Rea Boulevard and 371 Alliance Drive, where Artico Cold Storage New Mexico, has announced plans to build a 120 thousand square foot facility.

At LCIIP, Artico will offer product receiving and handling, product retrieval, case picking/boxing and repacking, order assembly and load consolidation, export and import support services, warehouse inspection and cross-docking.

The company expects to commence operations at LCIIP from September 2023. In addition, the land sale is expected to be finalized within 45 to 90 days, and Karis Acquisitions will reportedly fully develop the property within five years.

The other ordinance approved by the City Council establishes a Local Economic Development Act (LEDA) Project Participation Agreement (PPA) between the city and Artico Cold Storage, where the state will commit up to $600,000 in LEDA funds and the city will invest $281,400 in the project.

The city’s investment will be in the form of a lien on the property, which, will be gradually released if Artico reaches certain performance milestones stipulated in the PPA.

In addition, the city will also enter into an intergovernmental agreement with the state to serve as the fiscal agent for the administration of the state’s LEDA contributions for the project.

Chicago-based Artico Cold Storage New Mexico, LLC will invest up to $30 million in land acquisition, construction and initial outfitting of the facility, which is intended to create 60 full-time jobs in Las Cruces.

Source: MEXICONOW Staff