Universal Forest Products, Inc. (UFP) reported that it has closed on the sale and lease-back of a 35-acre site in Medley, Fla. that hosts once of the company’s larger operations.
The Grand Rapids, Mich.-based wood products and composites manufacturer said the move is part of a strategy to create efficiencies and advantages not possible with the current facility. Terms of the deal were not disclosed.
UFP said it plans to optimize 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 southern 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 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.”
UFP also said it has “great opportunity for growth in South Florida in each of its markets -- retail, construction and industrial.” The company will continue to serve its Caribbean customers from its Florida and Puerto Rico operations.
The Aljoma Lumber affiliate, which UFPI acquired in 2007 and operates out of the Medley facility, will continue to operate out of the current location until a new site is identified.