Original Post on Pensacola Real Estate News
Alabama economic development officials are urging commercial real estate brokers and agents in Mobile and Baldwin counties to locate tracts of land that could be used by suppliers to the ThyssenKrupp steel mill and the Northrop Grumman-EADS aerial tanker assembly complex. Mobile has one of the fastest growing economies in the nation, and real estate will be at a premium as these developments move forward.
While recent government actions have put the Air Force contract on hold , Alabama intends to go ahead with plans to attract suppliers to the area.
If you are not familiar with the economic growth in Mobile, I refer you to these previous articles on Pensacola Real Estate News:
Thyssenkrupp steel plant in Duisburg Germany.
On June 10, Alabama Governor Bob Riley met with over 100 Alabama commercial real estate brokers and agents. His message to them was that they needed to help find tracts of land from 300 to 400 acres to turn into industrial parks. Said Gov Riley, "You help us find it and we'll help you sell it".
The next big job is to go after the suppliers.
Gov Riley and the Economic Development Partnership of Alabama plan to start a large recruitment effort for suppliers. Part of this effort includes recruiting at the Farnborough International Air Show in England next month. According to Riley, "These will be some of the best jobs created in America and for the next generation".
Boeing Protest Decision Spoils The Party
The one cloud looming over the tanker contract is the Boeing protest over the awarding of the Air Force contract to Northrop Grumman-EADS. This cloud has burst and rained out the ground-breaking ceremonies planned by Northrup Grumman. The Government Accountability Office has ruled in Boeing's favor on this protest. This means the contract may have to be rebid.
The real estate agents were told that there could be between 15 and 35 different supply companies locating in Mobile to support the plants, but this was prior to the Boeing protest award. I expect there will still be considerable land requirements to support other growing industries in Mobile, especially the steel plant.
"In no form or fashion is this going to slow the momentum," Mobile County Commission President Stephen Nodine said. "We have full confidence that when it's all said and done, the (tanker) will be built in Mobile."
"But while the tanker project grabbed headlines in recent months, the state already has a rich aerospace landscape, dotted with major names and a variety of products and services, from rockets and missiles to maintenance and engineering", said Neal Wade, director of the Alabama Development Office.
Wade cited Alabama Aircraft Industries Inc. in Birmingham and Pemco World Air Services in Dothan, Lockheed Martin Corp. and Sikorsky Aircraft in Troy and GKN Aerospace in Tallassee and Montgomery as examples. But we need something a little closer to home to help out the Pensacola area economically.
Nearly 100 Alabamians led by Gov. Bob Riley still plan to meet with suppliers at the Farnborough International Air Show in England next month and continue to work with them in anticipation of a final contract outcome. Governor Riley and other members of the Alabama delegation have a full slate of meetings lined up with with tanker suppliers, as well as businesses tied to other projects and other parts of the state.
I will keep tracking the developments in Mobile and post articles as news develops.
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