The Little Rock Port Authority, which governs one of the state's largest industrial parks, is sitting on 2,600 acres of developed and undeveloped land on the Arkansas River. Yet usable parcels are becoming scarce, with only two parcels totaling 222 acres left for the port to pitch to prospective businesses.
So the authority is quietly combing the area south of existing development in hopes of acquiring more property.
"We're at a point now where we still have something to offer, but we need to replenish that," said Chris Mathews, chairman of the Little Rock Port Authority Board.
Money to buy the land would come from about $10 million provided to the port by Little Rock through money generated from a 1 percent sales tax passed in 2011. The port receives a portion of revenue from the tax, which expires in 2022.
The two parcels now available are 200 acres and 22 acres, both on the west, or dry side, of the levee. There is also 243 acres available on the east side of the levee that could only be leased -- not sold -- to a company that needs the Arkansas River to operate.
The Port Authority was established as an industrial park that created manufacturing jobs and attracted industry from all over the world. Two firms that are well-established at the port are Danish windmill maker LM Glasfiber and Welspun Pipes Inc., based in India.
Before rushing to the closing table in regard to buying land to the south, Little Rock Port Authority Executive Director Bryan Day and assisting board members are vetting any potential purchases.
"We want to be able to provide the appropriate land that would help us grow our manufacturing base, that would help us attract industry to central Arkansas," Day said.
Mathews agreed.
"When we go in to acquire this land, I want to acquire it so that it would be supportive of the types of job creation and intermodal transportation methodologies that we have available to us," Mathews said.
In mapping out a strategy, the authority determined that south is the only direction it could grow its real estate holdings. The other sides are limited by the river, a residential neighborhood and commercial development.
"We will begin looking at different options, seeing who we have who are willing sellers," Day said.
The Port Authority does not have the power to condemn property; officials have to find people who are willing to sell.
"We have to go out and tell our story ... convince sellers that this is good for them, good for the community and good for central Arkansas," said Day. The industries the port attracted have added nearly 4,000 jobs and hundreds of millions of dollars in private and public investment. Companies at home in the park make everything from peanut butter to giant blades for windmills.
Ideally, the Port Authority would buy the land and have infrastructure in place -- utilities, roads and rail -- before trying to recruit a business, Day said. In the case of Welspun, the company made a commitment to move, and then the Port Authority worked with the city, the chamber of commerce and Welspun to get the 1,000 acres and infrastructure the company needed.
Among the barriers facing the Port Authority as it goes about its mission: about one-third of the mass of property under consideration is in wetlands and too expensive to develop, and some land on the extreme southern side is so far from the port's existing infrastructure that it could be cost-prohibitive. The port owns and operates its own short-line railroad, called the Little Rock Port Authority Railroad.
Also, the property to the south is home to Bill and Hillary Clinton National Airport/Adams Field's VHF Omni Directional Radio Range cone-- a short-range, ground-based navigation system for the Federal Aviation Administration. It enables airplanes with a receiving unit to determine their positions and stay on course by receiving radio signals transmitted by a network of fixed, ground radio beacons.
"It's like a huge satellite dish" but is more the size of a small house, Day said. There are restrictions, including height, that limit what can be built around the cone.
Business on 04/07/2015