MSC to co-locate headquarters
MSC Industrial Direct announced plans to co-locate its corporate headquarters in Davidson, N.C., in addition to its current location in Melville, N.Y.
The company said the move was being done to support its growth strategy. The final decision of Davidson is subject to receiving formal governmental approvals from Davidson and Mecklenburg County.
Upon receiving the necessary approvals, MSC plans to construct a 180,000 square foot Customer Service Center (CSC) in Davidson, which is near Charlotte, N.C. It will maintain its existing facility and operations in Melville. With tax and other incentives provided by the State of North Carolina, the town of Davidson, and Mecklenburg County, totaling $14 million over 12 years, MSC plans to create over 400 jobs in Davidson by the end of calendar year 2017.
MSC would purchase a 14-acre open space in Davidson, break ground on its new facility in the second half of 2012, and complete construction in 2013. The facility will be designed to accommodate future expansion.
"We are excited to announce this co-location strategy designed to support and prepare for MSC's strong future growth trajectory," said David Sandler, chief executive officer of MSC. "After conducting a national search and careful consideration, the Charlotte area provided the most compelling opportunity and flexibility to strategically grow our business in a cost-effective manner in a region that is also an attractive community for our associates. New York has been our home for over 70 years and will continue to be a home to MSC going forward. However, Davidson provides the optimal environment for expanding our business further in the coming years and we believe our decision will be in the best long-term interest of our company and all of our stakeholders."
The new co-headquarters will be populated by some current MSC associates who will be offered relocation packages, as well as new hires made in the Charlotte area. There will not be any layoffs as a result of implementing the co-location strategy. New York has been MSC's home since 1941. MSC plans to maintain its Melville location; however it is expected that the majority of future additions to all departments will be made in Davidson.
The company expects to invest approximately $31 million to construct and outfit the facility in Davidson.
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