CEDAR FALLS — Amazon has quietly acquired approximately 9 acres in the Viking Road industrial park in Cedar Falls where it is planning to build a $4 million, 53,230-square-foot distribution center.
The multinational technology giant based in Seattle, Wash., received the deed in an Oct. 18 transfer of land from Minneapolis, Minn.-based Ryan Companies, a commercial real estate developer, according to property records.
Ryan acquired the land from the city at no cost this summer as part of a package of economic development incentives included in a 50-plus page development agreement.
Andy Moffitt, a vice president of real estate development at Ryan, referred questions to Amazon. A spokesperson for the tech firm, focused on e-commerce, cloud computing, online advertising, digital streaming and artificial intelligence, declined to comment.
Shane Graham, Cedar Falls’ economic development coordinator, previously told the Cedar Falls City Council that the distribution facility would be around 50,000 square feet and noted the site has lots of room for truck delivery and employee parking.
The property is in the freshly minted 200-acre western expansion of the city’s industrial park — meant to attract investment, jobs and increase the city’s tax rolls.
Ryan was the first builder to sign a development agreement with the city in the expanded industrial area. The city acquired the farmland in 2019 and rezoned it the following year to light industrial.
The council unanimously voted Aug. 7 to provide Ryan Companies with lots 12 and 13 in the industrial park expansion.
Ryan still is the developer and has begun work on the site, now owned by Amazon.com Services. Ryan has a history of building facilities for Amazon, one of the “big five” American technology firms along with Alphabet, Apple, Meta, and Microsoft.
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The 53,230-square-foot warehouse will be a fraction of the size of Amazon’s largest facilities.
Most construction will be completed within 24 months. New roads and other infrastructure are already in place.
The development agreement includes a five-year tax abatement of 75 percent the first year on the increase in valuation, and 60 percent, 45 percent, 30 percent and 15 percent in the following years before being put back on the tax rolls at full valuation in year six.
Property taxes for just the building are projected to be at least $124,248 annually. The new facility will have a valuation of at least $4 million and $4.75 million including the land.