The 80,000 sq. ft facility adds to the company’s existing 14-acre site near Birmingham Airport and grows the group’s total warehouse space to 350,000 sq ft.
PGS Global Logistics is expected to create more than 30 new jobs once the facility opens early next year.
The site also boats impressive green credentials as the warehouse will be solar powered throughout.
The company’s pallet storage capabilities will double from 15,000 to 30,000 and to maximise capacity, the warehouse will also benefit from Very Narrow Aisle (VNA) pallet racking and electric forklift trucks.
PGS Global Logistics is a shareholder member of the Pallet-Track network, which enables independent logistics firms to work together to collect and deliver palletised freight more efficiently.
By increasing its pallet handling capacity, PGS Global Logistics will be able to transport more freight via the network, supporting the operations of other hauliers around the UK.
The announcement follows a two-year search for a suitable West Midlands site, amid increasing demand for warehousing in the region.
Paul Eyles, who founded PGS Global Logistics 30 years ago this month, recently took part in a breaking ground ceremony at the new site with his three children, who all work in the business.
David Bayliss, Commercial Director at PGS Global Logistics, said: “We are proud to announce the biggest investment in our 30-year history and to be bringing new opportunities to the area with this development.
“Paul started the business 30 years ago, delivering steel on behalf of Carrs Tool Steels, based just a few miles away in Tipton, and it is wonderful to see the next generation of the family as part of the team at the forefront of this exciting investment.
“The new site will provide a number of key benefits for our customers, many of which are looking for additional capacity to increase their own operations, and we are already attracting a lot of interest from potential customers.
“We are seeing rapid growth in every area of our business, including parcels, pallets, and picking and packing requirements, so we are very confident of filling this new facility quickly once it is fully operational.
“The site is an ideal blank canvas for a purpose-built warehouse as it has given us the opportunity to fully incorporate solar power into the design and build, future-proofing our operation for the benefit of the business and the environment.”
Caroline Green, Chief Executive of Pallet-Track, said: “This expansion is great news for the region and local businesses, as well as being a real achievement for the team at PGS Global Logistics.
“The logistics industry has faced a challenging few years due to the pandemic, HGV driver shortage and rising fuel costs, so it is a pleasure to see a member of our network go from strength to strength.”
PGS Global Logistics has depots based in the Kitts Green area of Birmingham and Kidderminster. The firm, which works with ecommerce and automotive brands, has a workforce of more than 200 people and operates a fleet of more than 100 vehicles to distribute parcels and pallets across the UK and Europe.
Image caption: Paul Eyles takes part in a breaking ground ceremony at the new site with his three children, who all work in the business.