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Appalachian Railcar Services Relocates to Warren Depot
WARREN, Ohio – Appalachian Railcar Services Inc.'s new Warren Depot location will allow the company to explore possible transloading and warehousing opportunities, a company vice president says.
Appalachian Railcar Services will offer onsite railcar work and mobile crew services from its new location, according to an announcement from the Youngstown/Warren Regional Chamber, which assisted the company with site selection services and other resources.
“As the need for rail access rapidly increases throughout or region, it is vitally important that we can meet the overall needs of this industry. The variety of services offered by ARS does just that,” said Sarah Boyarko, the chamber’s vice president for economic development, business retention and expansion.
Appalachian Railcar Services, based in Eleanor, W. Va., operates 11 fixed locations serving 13 states, said Terry “Bruz” Hicks, one of the company's vice presidents for sales and marketing. ARS relocated last month from its prior site in Lordstown, which it leased for several years.
“That lease came due at the end of June and we chose not to renew,” Hicks said during a phone interview. The Warren Depot on Pine Street Extension “was made available to us and had the amount of track to maintain our current customer base and allow us to possibly move into some transloading and warehouse storage opportunities for customers,” he said.
With some rail upgrades requested of Norfolk Southern railroad, which serves the site, “It was the ideal location for us at the present time,” Hicks said. In addition to about 15,000 linear feet of rail, the site has 200,000 square feet of warehouse space that ARS will seek to sublease. “We’ve already got some interested parties,” he reported.
ARS has six employees at the site now and Hicks said he hopes to see that grow to upwards of 12 in a year to 18 months.
The lease runs for10 years, Hicks said.
“One thing that has driven us to stay in this area is the Marcellus shale activity and the drilling for natural gas,” he added. “With that business growing here, there’s going to be a lot of rail traffic moving through that area.”
Copyright 2012 The Business Journal, Youngstown, Ohio.
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