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Mayor Sarno and CDO Sheehan Announce Significant Expansion Project by Performance Food Group - Creation of 350 New Jobs -

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Mayor Domenic J. Sarno and Chief Development Officer (CDO) Tim Sheehan announced today the significant expansion of Performance Food Group (PFG). PFG is looking to significantly invest and expand their Springfield property located at 1 Performance Blvd / 1982 Roosevelt Ave in the East Springfield Neighborhood.

The $31 million project will include a 117,000 square foot expansion of their facility along with the creation of 350 new good paying full-time jobs.  PFG opened their Springfield facility in 2007 as one of the largest refrigerated warehouses in the area when the formerly named Springfield Foodservice Corporation moved from Taylor Street in Springfield to its current location.

The company has applied for Tax Increment Financing (TIF) through the city and the Economic Development Incentive Program (EDIP) with Commonwealth of Massachusetts.  These incentives offer state tax credits and a partial local property tax abatement on new growth caused by the investment.

Mayor Sarno states, “First, I want to thank Chief Development Officer (CDO) Tim Sheehan, Deputy Director Brian Connors, Attorney Patrick Greenhalgh, Chair of the Board of Assessors, and Assessors Matt Fontaine and Jessica Guerra, and their respective teams for their hard work and efforts working with Performance Food Group to see this significant $31 million economic development project advance.  I also want to thank Performance Food Group for their continued belief and investment in our Springfield.  This purposed TIF supports my administration’s efforts of continuing to invest and build good economic development projects that will not only provide construction jobs for our Building Trades, but also create more of that good four-letter word, jobs!  This project will create 350 new good paying jobs for our Springfield residents and also builds upon our over $5 billion of public and private economic development projects and investment across our city.”

“It is also important to note that this TIF agreement will not impact the taxes currently being collected by the city,” added Mayor Sarno.  “Property taxes for the existing facility will continue to be collected at full value.  The TIF exemption, while still being completed, is currently structured as a 10-year agreement and will only apply to the new value by the project investment and the new building addition.”

CDO Tim Sheehan and Deputy Director Brian Connors expressed support of the project that will invest nearly $31 million into an existing business in the East Springfield neighborhood while also creating 350 new jobs and numerous construction jobs.

“PFG is already an impactful employer and corporate citizen in our community,” said CDO Sheehan. “To add this to their campus in Springfield is impressive and something we value tremendously. We look forward to working with them on advancing this exciting project.”

The City Council Committee on Planning and Economic Development recommended that TIF agreement with PFG be brought to the full Council for a vote.

Councilor Melvin Edwards, Chair of the Council’s Committee on Planning and Economic Development, stated, “This opportunity to create jobs from an existing business does not happen every day.  I was more than happy to support this purposed TIF agreement and economic development project that will not only invest nearly $31 million in our city but also create 350 new good paying jobs.  In addition, this will have a positive impact on our future taxes and potential tax relief.”  

“I want to thank Councilor Edwards and our City Council’s Eco Dev Committee for voting in favor of this project and I am hopeful of the full City Council’s support,” added Mayor Sarno.

PFG plans to utilize local hiring organizations such as MassHire to prioritize efforts to hire Springfield and neighborhood residents.  The company also plans to use local labor for construction of the project.

“PFG looks forward to working with the City of Springfield to increase the capacity of our facility, which will allow us to grow our family of associates to meet the needs of our expanding customer base.  We are proud to be one of the premier providers of food and supplies to local restaurants, colleges and universities in the Northeast” said Jeffrey Derick, President, Performance Foodservice Springfield.

The TIF exemption, a 10-year agreement, would see an average exemption of 58%.  After the 10-year period is completed, the new addition is then fully assessed and taxed. 

The East Springfield Neighborhood Council has also voted in support of this project.  It is anticipated that the TIF agreement will be brought before the City Council for consideration sometime in January 2024.

PFG was founded in 1885 in Richmond, VA, and distributes a broad range of food and food-related products nationwide with more than 35,000 associates across the country, and more than 560 current associates in its Springfield location.

Page last updated:  Tuesday, March 1, 2022 01:32 pm