Engine maker Cummins Inc. expects to have construction finished by the end of this year on a new $15 million warehouse and distribution center in southern Indiana.
The company plans to consolidate 80 employees from distribution sites in Seymour, Jonesville, and Greenwood at the new center in an industrial park just south of Columbus, The Republic reported. The Columbus-based company anticipates adding about 25 workers at the new center, for a total of some 105 jobs.
The new center, being built near the Cummins Midrange Engine Plant, will have nearly 430,000 square feet of space to store equipment and parts for the company's area factories, said Catina Furnish, real estate manager for Cummins.
Furnish said Cummins decided to build the logistics center after determining that would be less expensive than leasing sites throughout southern Indiana.
"Two and a half years ago, we did some analysis on our warehouse space that we lease today," she said. "We undertook a project with our logistics people to say 'What are we paying today?'"
Furnish said the company hoped to have the facility completed soon because some of the leases on five other properties are set to expire before year's end.
Josh Duncan, facilities and construction manager at Cummins, said the new facility will have 42 loading docks and a special area with a reinforced foundation to store the company's new ISG engine model.
Cummins has some 8,000 employees at its facilities in Columbus, Seymour and other area communities.
The company is building a $70 million technical and office center in Seymour as the headquarters for its high-horsepower division. It is also planning an office building at the site of the former Market Square Arena in downtown Indianapolis.