The facility sits on the campus of Severstal North America.
Terms were not disclosed.
MSP is a relatively new company offering toll processing, storage and logistics and first-stage fabrication of hot band and HRPO.
In a joint statement, Chip Gerber and Rich Merlo of MSP said, “At MSP, we have been fortunate to experience tremendous growth during our first 18 months in business. We are currently in the process of adding three pieces of processing equipment and three building additions. Without the ability to sell our original building to Agracel Inc., we wouldn’t have been able to finance all of this growth in a timely manner.”
Agracel will be adding an additional 107,715 square feet of building as well as a 200,000-square-foot trailer staging area. The building expansion includes a 43,200-square-foot rail-served coil storage and processing bay, a 46,665-square-foot finished goods storage building and a 17,850-square-foot finished goods/manufacturing building.
As part of the purchase and expansion transactions, MSP has entered into a 20-year lease with Agracel.
Malouf Construction of Starkville, Mississippi, has been selected as the contractor. Financing for this project will be done through BancorpSouth.
This is Agracel’s second investment in Columbus. The first project was a 100,000-square-foot speculative facility.
Agracel has also recently opened the office in Madison and brought on Mississippian Justyn Dixon to spearhead development efforts in the Mid South.