Amazon set a record last year when it opened a 1 million-square-foot distribution center just off Interstate 65 in Lake County.
Now John Deere is poised to open an even-larger building — which the developer says will be longer than Chicago's Willis Tower lying on its side — about 13 miles south off I-65 in southern Lake County.
John Deere recently broke ground on a 1.2 million-square-foot, $125 million distribution center near Lowell, just off the Hebron exit of the interstate highway. The tractor and agricultural equipment manufacturer plans to employ 150 workers there.
Moline, Illinois-based John Deere, a Fortune 100 agricultural machinery manufacturer that has been in business for 189 years, is building the warehouse on a 234-acre site at 2105 W. 181st Ave. to distribute its parts to dealerships and customers across the country.
“Our state's location as the Crossroads of America makes it the ideal destination for companies of all sizes to serve customers across the U.S. and around the world," Indiana Gov. Mike Braun said in a press release issued by his office. "John Deere’s expansion to Indiana is a testament to our business-first environment, our robust manufacturing sector and our strong pipeline of skilled talent.”
John Deere has pledged to invest $20 billion in U.S. manufacturing over the next 10 years. The multinational agricultural giant, whose green and yellow tractors are an iconic sight on American farm fields, also makes harvesters, field sprayers, backhoes, excavators, loaders and other agricultural, construction and forestry equipment that's sold worldwide.
The company also announced it is investing $70 million in a new excavator factory in Kernersville, North Carolina, moving that production from Japan to the United States.
John Deere said that the new southern Lake County warehouse would strengthen its domestic supply chain as it boosts investments in the United States and that it would continue to operate its primary North American Parts Distribution Center in Milan, Illinois. That warehouse employs about 1,200 people and has been in operation since 1973.
Coldwell Banker Commercial Realty announced the $7 million sale of the property to John Deere in 2024. Rosemont-based developer Venture One is building the new distribution hub at the site at the southwest corner of Interstate 65 and Route 2.
Developers estimate the property has about 2,595 feet of road frontage along I-65 and more than 3,397 feet of road frontage on Route 2. It's one of several new warehouses to spring up along Interstate 65 in Hobart, Merrillville, Crown Point and Lowell in recent years, where Amazon, Domino's, U.S. Cold Storage and other major companies have invested in logistics operations.
“This new facility is an investment in customer expectations around world-class product support through parts availability for our U.S.-based ag, turf, construction, forestry, mining and turf customers,” said Denver Caldwell, a John Deere vice president, in the press release. “Indiana’s strong workforce and central location make it an ideal choice for expansion.”
John Deere brought in more than $45 billion in revenue last year. It ranked 52nd last year on the Fortune 500 list of America's largest publicly traded corporations.
The Indiana Economic Development Corp. is giving the company $2.5 million in tax credits as an incentive for the job creation. The new jobs are expected to pay at least the county average in wages.
The Lake County Council is also scheduled to approve additional tax incentives for the project at a special meeting Thursday, including a $23 million real property tax deduction over seven years and a $7 million personal property tax deduction over 10 years.
"John Deere's new facility in Lake County will contribute to the county’s overall economic development and provide economic opportunities for both the county and its residents," said Lake County Councilwoman Christine Cid, D-5th, in the press release from the governor's office. “Once the facility is complete, it will provide good-paying jobs. We welcome developments along the Interstate 65 corridor, such as John Deere, that help contribute to a more resilient commercial tax base throughout the county."
Times Staff Writer Dan Carden contributed to this report.
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