Redeployed assets and new South Florida facility will enhance logistics, efficiencies in the region
GRAND RAPIDS, Mich., Jan. 22, 2018 (GLOBE NEWSWIRE) — Universal Forest Products, Inc. (NASDAQ:UFPI) announced that it closed on the sale and lease-back of its property in Medley, Fla., a 35-acre site that includes one of its large operations, as part of a long-term plan to enhance its operations in the region.
The move is part of a strategy to create efficiencies and advantages not possible with the current facility by optimizing the capacity of its other three Florida operations, including two it acquired from Robbins Manufacturing in 2017, and adding a state-of-the-art facility in South Florida. The Company will lease back the Medley, Fla., facility as it executes its long-term plan for Florida and the Southeast region.
“We have an exciting opportunity to sell a valuable piece of property and structure our business in a way that will enhance our logistics, create operational efficiencies and create opportunity for growth in the region that we couldn’t realize with our existing operational structure and facilities,” said CEO Matthew J. Missad. “Our focus on return on investment has us constantly evaluating our assets to deploy them in the most efficient manner, and the sale of the Medley location enables us to be a better, more efficient manufacturer and supplier.”
The Company’s Aljoma Lumber affiliate, which Universal acquired in 2007 and operates out of the Medley facility, remains critical to Universal’s growth in the region and to its overall success. It will continue to operate out of the current location until a new site is identified.
Universal has great opportunity for growth in South Florida in each of its markets — retail, construction and industrial. It will continue to serve its Caribbean customers from its Florida and Puerto Rico operations as well.