The Little Rock Port Authority purchased 157 acres for $1.3 million on Friday, the first of multiple acquisitions planned by the agency.
Executive Director Bryan Day said the agency will add to its real estate portfolio over the next 12-18 months as it works to attract new industry. Money for adding land comes from a $10 million fund established when a three-eighths percent sales tax was approved by Little Rock voters in 2011.
"We have to have product to sell to attract national and international businesses," Day said. "This is a first step in a pretty aggressive land acquisition strategy. Prior to this we only had a couple hundred acres. We've almost doubled our holdings in one purchase."
Prior to the purchase -- approved by both the port authority board and city commissioners -- fewer than 200 acres were available to interested businesses. Attracting larger manufacturers will require more land than is currently available.
Day said the port would like to purchase another 500 to 1,000 acres over the next "6-8 months" to help sell Little Rock to large manufacturers. Wellspun Tubular LLC, for example, has nearly 750 acres inside the port, which features about 2,640 acres as part of its industrial park.
All of the land acquired by the port will have access to railroad lines. The authority owns the rail line inside the industrial park, and access for businesses moving raw materials in, or finished products out, is used as a selling point.
Jay Chesshir, the president and chief executive officer of the Little Rock Regional Chamber of Commerce, said having additional land available at the port is critical to further economic development in the city. The port's proximity to the Arkansas River; to Interstates 440, 30 and 40; and to the railroad makes it attractive to site selectors.
"These next 157 acres, and what's next to it, give us the opportunity to expand the growth footprint," Chesshir said. "This makes us competitive in the marketplace for big projects."
The Little Rock Port Authority purchased the land from the Selz-Thibault Land Trust. Flake & Kelley Commercial was hired to represent the authority in real estate transactions.
Currently the port is home to 41 companies. More than 3,000 people work at those companies.
"We want to grow," Day said. "We're fortunate we have the support of the board and the city."
Business on 11/19/2016