Mercedes-Benz opens local distribution center

Mercedes-Benz USA Regional Master Parts Distribution Center opens on New Canton Way, providing a sizable ratable for Washington Township.

By: Lauren Burgoon
   WASHINGTON — A major undertaking — and a major ratable for the township — officially opened its doors Tuesday when the ribbon was cut on the new Mercedes-Benz warehouse on New Canton Way.
   Officially called the Mercedes-Benz USA Regional Master Parts Distribution Center, the nearly 460,000-square-foot warehouse sits on 68 acres near the Allentown border. The warehouse represents a huge ratable for Washington, where residential growth has far exceeded commercial development in recent years.
   Tax Assessor Gregory Busa said that the warehouse is assessed at around $15 million. Using that figure, Mercedes-Benz will generate $72,000 in municipal tax revenue each year. The future could hold a bigger ratable for the town since the warehouse is capable of expanding by an additional 1.2 million square feet.
   The distribution center sits in Washington’s newly designated foreign trade zone. Companies in the zone, which goes into effect this month, pay lower tariffs for imports, which Mercedes-Benz executives called a huge plus in deciding to build here.
   The location also played a role.
   "When we looked for a location we wanted to be close to an airport, close to the harbor and near an urban center … Robbinsville proved to be ideal," said Klaus Ulkann, the company’s vice president of customer services.
   Tuesday’s opening was a who’s who of town, county and state officials, whom Mercedes-Benz executives credited with creating a smooth move to Washington. Everyone there was taken on a tour of a new facility and shown nearly every section of the huge center.
   Mercedes-Benz warehouse employees were on-hand to explain their jobs and how the massive amount of parts is distributed. The employees demonstrated how a part is electronically tagged and organized using the one-and-a-half miles of conveyor belts that stretch up to three levels in some areas of the warehouse. The parts are shipped via air or road to more than 100 East Coast dealers and four other distribution centers.
   The Washington center, which replaced an older one in Baltimore, is being touted as Mercedes-Benz’s premiere warehouse in the world. It will house slow-moving parts so that the other four centers spread around the U.S. can hold items more in demand like air filters. Washington’s center will have less sought-out parts because there is more room there than in other factories.
   Executives said that they want to work with Washington to create a mutually beneficial relationship. The center already has an eye on environmental issues, as more than 600 indigenous trees and shrubs were installed and houses for bats and bluebirds were set up around the site. There is also a special storm water system to return water to the ground and the company used lighting concepts like skylights to reduce energy costs.
   "Being a good citizen of Mercer County is just as important to us as being a good business partner," Mr. Ulkann said.
   Groundbreaking for the warehouse was held in June 2003 and the building was ready for occupation less than one year later. Employees started work in July of this year. Mercedes-Benz has already hired about 100 people, most of whom are from Mercer County. About 50 more people will be hired in the coming weeks as work at the center picks up.
   Washington Mayor Vince Calcagno said he is thrilled to have Mercedes-Benz in town.
   "This is a very good day for everyone," he declared.