Buchanan County expands industrial park

Economic development is booming inside the Southern Gap Industrial Park in Buchanan County, where the county industrial development authority is spending $4 million to develop a new shell building and a 20-acre industrial site.

With support from the Virginia Coalfield Economic Development Authority, the park has become a hub for growth in an area historically defined by its rugged terrain and limited industrial infrastructure.

“It’s going to allow us to have marketable industrial property and a marketable industrial shell building in an area right now [where] we don’t really have a lot to offer,” says Jonathan Belcher, VCEDA’s executive director. “We want to be able to bring job opportunities to all parts of the region that we serve.”

With a $2.5 million loan from VCEDA, the Buchanan County Industrial Development Authority is developing the 20-acre site as part of the industrial park’s expansion. The project will capitalize on the initial success of the park, which already has several tenants, including Southern Gap Transportation and Logistics Center, Appalachian Power and Southern Gap Outdoor Adventure.

VCEDA has also provided a $1.53 million loan to facilitate the construction of a shell industrial building within the park, a response to increasing demand for industrial space. Paul’s Fan Co., for example, moved from Big Rock into the Grundy park in 2022.

Benefits of the move included reduced travel costs and time and increased marketability, says Paul’s Fan Co. President Todd Elswick.

“We were operating out of five different buildings in different locations in the extreme western part of the state,” he says. “It was killing our productivity.”

The new shell building, approximately 20,000 square feet with expansion potential, will cater primarily to manufacturing companies seeking a foothold in the region, Belcher says.

Construction on the shell building is slated to begin in April, with completion expected this fall. In mid-February, site development for the 20-acre parcel was set to begin imminently, with a projected completion date within the next year.

Matthew Fields, Buchanan County’s director of economic development and tourism, says the park had reached maximum capacity, and he wants the county to become more competitive by offering pad-ready sites and buildings.

“It’s kind of hard to invite somebody to sit with you at the table if you don’t have a chair for them,” he says.

No tenants have been announced for the shell building or site yet.