Newgistics hires for parcel logistics and distribution

Newgistics, a third-party logistics provider to the U.S. Postal Service and other clients, seeks to hire 30 to 50 employees for a 72,500-square-feet facility it leased at Tarragon's Spanish Springs Corporate Park.

Kevin Brown, director of marketing for the company headquartered in Austin, Texas, says the facility in Spanish Springs will replace a similar operation in Southern California. Reno, he says, offered the best mix of options for the 10-year-old company.

"We need to make decisions in terms of the postal facilities we support, as well as distribution of products out of the center. We constantly evaluate where our needs are and what makes sense for us as we continue to build a West Coast presence," he says.

"We wanted a centralized location to serve clients from the Pacific Northwest to Seattle down to San Diego within a day. We evaluated a number of regions on the West Coast."

In addition to working with the postal service to handle forward delivery of small parcel mail, Brown says Newgistics works directly with companies to ship cell phones, spare parts and high-tech electronics. It also handles reverse-logistics functions such as returns from consumers to vendors.

Facility manager Wil Morales will relocate from the Dallas-Fort Worth area to manage the new facility, which is expected to be operating by June 8. Newgistics is in the process of bringing in and installing materials-handling equipment, as well as computer servers and other information technology functions.

"A lot of investment already has been made, and it is my expectation that the facility will be outfitted very quickly," Brown says.

"This is pretty significant move for us," he adds. "Any time you bring a new facility on board it's a big deal.

It takes a lot of prep work and effort from a lot of people on the back end. We are looking forward to starting this new venture in that area and building partnerships with the companies that reside there."

Eric Bennett of CB Richard Ellis represented Newgistics in negotiating its lease and Gordon Zack represented Tarragon.