(BRK.A), (BRK.B)
BNSF Railway Company has acquired 3,508 acres of land in Surprise, Arizona in order to build a major intermodal freight and logistics center. The land was bought from the Arizona State Land Department at auction on March 30, 2022 for $49.1 million. BNSF was the sole bidder. BNSF already owns an adjacent 500 acre parcel that is currently zoned as rural residential.
In 2007, BNSF proposed a 130-acre rail yard, 200-acre automotive shipping facility with up to 16 million square feet of warehouse space in Surprise, but the project was put on hold during the Great Recession. At the time, BNSF projected the project would create 6,000 jobs.
Surprise, Arizona is on a BNSF rail line with the Ennis Spur running to the BNSF certified Southwest Railplex industrial park. The two-square mile park is shovel-ready with all major utilities to site.
© 2022 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.