Categories Automotive

Enclave purchases Cullman distribution facility leased to RESRG Automotive

Cullman City Hall: RESRG Automotive Expands Operations

CULLMAN, Ala. – A significant change in ownership has occurred for a 235,000-square-foot industrial property currently utilized by RESRG Automotive. This move comes as the automotive supplier gears up for a multimillion-dollar expansion of its manufacturing facility in Cullman.

Acquisition Details

Enclave, a real estate investment and development firm based in Fargo, North Dakota, announced this week its acquisition of the Trade Distribution Center located at 2400 Trade Drive. This industrial site, set on 11.88 acres, is fully occupied by RESRG and is strategically located near the company’s Cullman manufacturing operation.

The announcement did not disclose the purchase price. Prior to the acquisition, commercial real estate firm Newmark had marketed the property. It was noted that RESRG recently renewed its lease on the distribution center for an additional seven years, starting May 1, 2026, underscoring a long-term commitment to the site amidst their production expansion plans.

Property Specifications

Originally built in 2011, the Trade Distribution Center underwent a significant expansion in 2016. The facility boasts 36-foot clear heights and 31 overhead doors, making it well-suited for RESRG’s automotive supply operations. Enclave has identified RESRG as a Tier 1 supplier catering to multiple automakers.

Planned Expansion

This acquisition is distinct from RESRG’s previously reported plans to expand its manufacturing facility. In August, the Cullman City Council approved a 10-year tax abatement related to a planned investment of approximately $10.92 million by RESRG. Jamie Troutman, Executive Director of the Cullman Economic Development Agency, noted that the expansion project will include enhancements such as new robotics and upgraded safety systems, aimed at increasing paint-line capacity to accommodate new business.

RESRG had a workforce of 338 employees at the time of the expansion announcement, with projections estimating the creation of 180 additional full-time positions. Ultimately, the company aims to add up to 250 new jobs, contributing an estimated $8 million to the annual payroll upon completion of the project, with operations expected to start in 2027.

The city anticipates a tax abatement totaling approximately $575,400 over the decade, while still ensuring that around $697,768 in education tax revenue remains collected.

Future Use of the Facility

Enclave’s acquisition does not indicate any changes to RESRG’s use of the Trade Drive facility. However, details about the seller, sale price, and potential improvements to the distribution center have not been disclosed.


For further updates on the expansion and development plans in Cullman, stay tuned.

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