News

Lorenzo Expands into New Building

Published: 7/12/2005

Continued growth over the past year has lead Lorenzo International to search for new office and warehouse space to accomodate it's expansion plans.

Reprinted from an article in the Dunkirk Evening Observer, July 12, 2005.

IDA OKs lease for spec building in industrial park

By DOUG FENTON
OBSERVER Business Editor

SHERIDAN — A Dunkirk-based transportation firm is leasing the spec building in the Chadwick Bay Industrial Park here and may eventually buy the 40,000-square-foot facility.

The county Industrial Development Agency board unanimously approved the lease agreement with Lorenzo International Inc. during a special meeting Monday at Fredonia Village Hall. The action came following a brief executive session to discuss contractual obligations and the lease or sale of real estate.

“We are lucky to have Lorenzo leasing the building,” said IDA Chairman Richard Alexander.

Administrative Director Richard Alexander and Pagano were authorized to negotiate the lease terms with company Vice President Greg Lorenzo.

Lorenzo noted he plans to install a “pick and pack” warehousing and distribution center in both 20,000-square-foot modules of the four year-old spec building.

“This will generate $5.5 million in additional revenue for Chautauqua County from outside firms and will create 30 new jobs,” he said. “The IDA has been great to deal with.”

“These are not just minimum wage jobs,” Pagano added.

The IDA has been negotiating the lease for several weeks, according to Alexander.

“The lease/purchase agreement will go into effect in 30 days,” he said. “Lorenzo International is leasing the building for 12 to 18 months and is looking to purchase it if and when they receive state funding.”

Plans call for the spec building to be purchased from the IDA for $2.7 million, with Lorenzo providing $1.8 million in cash and the state kicking in a $900,000 grant.

“This is exactly what we have been trying to do at both spec building locations (in the north and south county),” said IDA board member Robert Barber. “We would then like to get the private sector involved.”

The industrial park has seen several infrastructure upgrades over the last year, including the installation of a rail spur for the GRAFCO PET Packaging Technologies plant. According to the IDA’s annual report, this spur reduced GRAFCO’s transportation costs for raw materials.

The newest arrival to the 90- acre park is Global Environmental Industrial Inc., formerly located on New Road in the town of Dunkirk. GEI completed its new building behind Stericycle’s medical waste processing plant in 2004.

Lorenzo International Inc. was formed Jan. 1 when ATS Sureway New York Inc. integrated its transportation services with its warehousing and distribution and real estate acquisitions to form the new company.

Based in the Lorenzo Professional Building at 314 Central Ave. in Dunkirk, the firm provides complete transportation services to a wide range of manufacturing and distribution companies across the United States, Canada and Mexico.

Lorenzo International also leases two warehousing and distribution centers on Route 60 in the town of Dunkirk: the former 84 Lumber Co. and the former Rotadyne/Firestone plant.

Now filled to capacity, both buildings had been vacant for more than a year and were listed for sale with commercial realtors.

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