Food distribution company plans to make Denton home and offer well-paying jobs Business
The CEO of a food production company said he would invest nearly $ 6 million in Denton and create 140 well-paying jobs – if he receives an economic development incentive that city officials appeared to favor during the Denton City Council meeting Tuesday.
“Once we’re in this area, in the town of Denton, we don’t see us staying here any longer,” said Ken Davis, CEO of Ranchland Foods of Phoenix, Arizona. “The overall reach of our move here to North Central Texas, I think, will have a bigger impact as we continue to grow.”
Ranchland’s distribution center is in Phoenix, where it ships thousands of packages every week, according to the documents submitted. It uses grass-fed beef, free-range chicken and other organic meats.
“I just want to say that I appreciate your commitment to organic practices and not using hormones and grass-fed products,” said Deb Armintor, board member. “It was something that set me apart.”
Davis said he plans to move into the old Miller of Denton building at 2421 N. Interstate 35, which would make it the company’s new distribution headquarters. The estimated cost of improvements and additions to the property is $ 5.7 million.
‘The main hub’
“Our Arizona facility will close and Denton will become the primary hub for our corporate offices,” said Davis.
Council member Paul Meltzer asked Davis to explain why he chose Denton over neighboring towns.
“This is the place,” Davis said. “We have reviewed and conducted surveys regarding local distributions, truck models, traffic patterns and throughput of the I-35E and I-35W. Then it’s accessibility to employees. “
Decatur and Lewisville also featured prominently on Davis’ “list”.
“Have the ability to be very close to an area where it is possible to glean [the University of North Texas] but also of the community demographically and financially also matched our criteria, ”he said. “We watched [those other cities], but the traffic and access dynamics were not as good as Denton or Decatur in that sense.
Initially, Ranchland in Denton will hire 140 people, for an average salary of nearly $ 70,000. His annual payroll is expected to be around $ 9.8 million by his 10th year at Denton.
‘A strong link with the community’
“They have a strong community connection here,” said Jessica Rogers, the city’s director of economic development. “They encourage highly skilled and knowledge-based jobs.”
Through Chapter 380 agreements under the Local Government Code, municipalities can offer incentives to promote economic development, such as retail and commercial projects, through grants and “no or no money” loans. fees, ”according to the state comptroller office. Denton offered Ranchland Foods a Chapter 380 grant for $ 218,500 over five years, in addition to other incentives, including a state program, for $ 614,302. The three incentives must be approved separately by the board members.
“What attracts me about it is that it comes with the corporate headquarters,” Meltzer said. “The fact that it’s based on employment around the head office… I think it’s also kind of a cultural connection with Denton.”
Davis said he plans to expand the business outside of Denton.
“We are considering an additional building in the region to expand our distribution capabilities not only in the local DFW market, but also to consolidate our national distribution capabilities,” he said. “We’re already starting to look at expanding from 150,000 to 180,000 square feet, hopefully in this area.”
The Old Miller Building measures over 63,000 square feet.
As of Oct. 1, more than 50 companies, including Ranchland Foods, have requested information about Denton’s locations, Rogers said. Council members are scheduled to review Ranchland’s economic development incentives on Tuesday.
PAUL BRYANT can be reached at 940-566-6881 and via Twitter at @paulbryant_DRC.