Kubota Finalizes Land Deal for New Western Distribution Center in California

The City of Elk Grove, California, has approved the sale of approximately 45 acres of city-owned property to Kubota Tractor Corporation. The purchase and sale agreement paves the way for Kubota to take title to the property and commence construction of its approximately 630,000-square-foot Western Distribution Center.

The project will be Kubota’s hub for western states distribution of its products as well as home to the company’s western division offices and “Kubota University,” a training and education facility. The $60 million project will generate more than 125 permanent jobs in addition to more than 400 temporary construction jobs, according to Elk Grove City Council.

“As we grow our business, Elk Grove allows us to remain close to our existing employee base while we expand our operations,” says Kyle Hagen, director, western division manager for Kubota Tractor. “Furthermore, the City of Elk Grove has been a fantastic partner through this process. They’ve had a team of responsive staff helping navigate a fairly complex transaction. And with support from local developer Gerry Kamilos, I couldn’t have asked for a better combination of partners to see this project through.”

“This is a great win for Elk Grove and the Sacramento region,” says Elk Grove mayor Bobbie Singh-Allen. “It’s not every day a city attracts $60 million of foreign and domestic investment to its community. This was a competitive multi-city and state search, and we are pleased to have come out on top and to be able to welcome a fantastic company like Kubota to our city and region.”

The project was led by the city’s Office of Economic Development. Elk Grove’s regional partner, the Greater Sacramento Economic Council, helped Kubota obtain a critical Cal Competes tax credit from the California Governor’s Office of Business and Economic Development, reports the City of Elk Grove.


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