arrowhead-distribution-center
- Facts and Figures
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Arrowhead Engineered Products
531,000 Square Feet
Completion: June 2023 - Delivery Method
- Develop Design-Build
Arrowhead Engineered Products (AEP), a leading provider of aftermarket parts for off-road vehicles and equipment, had ambitious goals aimed at transforming their distribution capabilities. Faced with the challenges of rapid growth, inefficient facilities and the need for seamless customer service, Arrowhead partnered with Mortenson to finance, develop, and design-build a state-of-the-art distribution facility in Portland, Tennessee – just outside of Nashville. The facility is now one of the largest distribution centers in the region and was built to support the company’s growing operations.
Our new facility is an essential step in our growth strategy, allowing us to serve our customers more effectively, and further position Arrowhead as the largest off-road aftermarket parts supplier in the world.
BILL CANADY
CEO, ARROWHEAD
Customer Goals + Challenges
Arrowhead envisioned a distribution hub to serve as the epicenter of their supply chain network for the East Coast, consolidating six existing facilities into one, a transformative distribution endeavor. Arrowhead selected the Portland, Tennessee site, boasting 530,000 square feet of floor space consisting of an automated pick area and over 6,000 feet of conveyance. The adaptable space also includes options for future expansion and integration of advanced warehouse automation technologies.
A User-Driven Development
At the onset of the project, Mortenson quickly engaged in the market, to understand market conditions and bring forward a financing structure that allowed Arrowhead to leverage our vertical integration. From navigating challenges with financing, land use, legal, zoning, entitlements, incentives to collaborating with our design-build partner, Ware-Malcomb, to understand Arrowhead’s program, we visited existing facilities and worked diligently to align scope, budget and schedule.
By effectively managing long-lead items during construction, Arrowhead was able to phase early access to move-in critical racking, conveying and automation systems and start their transition to operations efforts. Through committing to early access dates long before the project started, Arrowhead had the ability to consolidate their facility footprint and move forward with confidence on this project.
- Customer-Focused Resiliency: By understanding our customer’s business, and developing transparency early on, we were able to understand their goals, challenges real estate strategy.
- A Seamless Experience: Ensuring a smooth transition to operations, we set aggressive goals for opening day to get their team into the building early to prepare for operations. We over-communicated and planned thoroughly every step of the way and ultimately received certificate of occupancy two weeks early!
The completion of the project marked a significant milestone for Arrowhead and Mortenson. This facility equips Arrowhead with cutting-edge infrastructure to scale and enhance their fulfillment services while continuing to build Mortenson’s reputation in the Nashville Market with new partners and a vertically integrated approach.
