MOBILE, Ala. (WALA) – An 11th-hour compromise over environmental concerns removed a key obstacle to a complex of warehouses that Mobile Mayor Sandy Stimpson described as a “game changer” for the city and Port of Mobile.
The Mobile County Commission on Monday approved $2 million to help pay for road improvements on the site off of Rangeline Road in Theodore, and the Mobile City Council on Tuesday considered a request for an additional $2 million.
The project, which could come up for a vote as early as next week, has been a major priority for the Mobile Chamber and the port. It would allow shipping containers arriving at the port to be loaded directly onto trains that then could drop them off at the logistics park without the need for trucks.
“It should be a game-changer for the city of Mobile,” Stimpson told council members.
The project represents a long-term $700 million investment by Scannell Properties, with an initial $250 million, 300-acre phase one. David Salinas, the company’s senior development manager, said it is a “unicorn site” because of its access to a CSX railroad line.
“If you look statewide, there’s not too many sites,” he told reporters. “This might be the only one in south Alabama that actually has Class I rail service on this scale. So we’re really excited about bringing that to city of Mobile with our partner, CSX.”
The agreement between the city, the Mobile County Industrial Park Board and Scannell Properties requires that the developer fill at least 250,000 square feet of building space and create at least 50 jobs in order to get the $2 million. Scannell Properties also has agreed to build a traffic light on Rangeline Road.
Stimpson said he anticipates many more jobs than that and a major boon to Mobile’s container shipping activity. It comes two years after city and county officials announced the South Alabama Logistics Park further west near Interstate 10. The project, currently under way, could involve 500 acres and 6.7 square feet just in the first phase.
But Stimpson said the rail component sets the latest logistics park apart.
“It’s different than some of the other distribution centers that we have,” he said. “So that’s why from my perspective, it’s different. It gives us different flexibility and a broader reach out into the rest of the country.”
The proposal, though, has drawn the ire of environmental organizations like Mobile Baykeeper, and Councilman Ben Reynolds, who represents the area. They expressed concern about the impact on sensitive wetlands and the effect on Rabbit Creek and Dog River.
A flurry of negotiations over the past couple of days resulted in additional concessions from the developer. The company now will increase the amount of land protected from development from 53.15 acres to 105 acres, plus an additional 40 acres on the east side of the property. In addition, Scannell Properties has agreed to a number of restrictions on activities involving hazardous materials.
William Strickland, Baykeeper’s executive director, said his organization can live the compromise
“The changes that have been made, the concessions that they’ve made meet our concerns,” he said. “The most important wetlands, the highest-quality wetlands, the ones along the creek, will protect the creek, will be conserved.”
District 5 Councilman Joel Daves stressed the economic importance of the port and the necessity to support everything that contributes to its success.
“The economy of the city of Mobile is dependent upon the Port of Mobile,” he said at the council work session before the public meeting. “It’s true today. It was true 300 years ago.”
Without the port, Daves added, “we are a much, much, much, much, smaller, less-affluent city.”
Reynolds said he is hopeful but wants to examine the fine print.
“I’m happy with the progress. You know, it’s not done until it’s done,” he said. “We still have to get the contract in the right way that reflects this handshake agreement or this understanding in principle. But, you know, I’m happy that we’re seeing some movement, some progress. It’s been difficult to get to this point.”
Copyright 2023 WALA. All rights reserved.