UFP Industries Acquires 30-Acre Site, Announces First Northeast Region Deckorators® Facility to Open by Year-End
UFP Industries (UFPI) has announced the acquisition of a 30-acre site in Lackawanna, NY, for a new Deckorators® facility. The $77 million investment includes 240,000 square feet of manufacturing and warehousing space, part of a broader $250 million expansion plan over five years.
The new facility will double production capacity for Deckorators'® Surestone® composite-decking product, which has expanded to 1,500 retail locations. Construction will begin in April 2025, with operations starting by year-end 2025, creating approximately 60 new jobs.
The project received tax incentives from Erie County Industrial Development Association. This expansion follows Deckorators' recent marketing partnership with the PGA TOUR and showcases the company's commitment to growth in the outdoor living products market.
UFP Industries (UFPI) ha annunciato l'acquisizione di un sito di 30 acri a Lackawanna, NY, per una nuova struttura Deckorators®. L'investimento di 77 milioni di dollari include 240.000 piedi quadrati di spazio per produzione e magazzino, parte di un piano di espansione più ampio da 250 milioni di dollari su cinque anni.
La nuova struttura doppierà la capacità produttiva del prodotto in composito Surestone® di Deckorators®, che è già disponibile in 1.500 punti vendita. I lavori di costruzione inizieranno ad aprile 2025, con l'inizio delle operazioni entro la fine dell'anno 2025, creando circa 60 nuovi posti di lavoro.
Il progetto ha ricevuto incentivi fiscali dall'Erie County Industrial Development Association. Questa espansione segue la recente partnership di marketing di Deckorators con il PGA TOUR e dimostra l'impegno dell'azienda nella crescita nel mercato dei prodotti per la vita all'aperto.
UFP Industries (UFPI) ha anunciado la adquisición de un sitio de 30 acres en Lackawanna, NY, para una nueva instalación de Deckorators®. La inversión de 77 millones de dólares incluye 240,000 pies cuadrados de espacio para fabricación y almacenamiento, parte de un plan de expansión más amplio de 250 millones de dólares en cinco años.
La nueva instalación duplicará la capacidad de producción del producto de decking compuesto Surestone® de Deckorators®, que se ha expandido a 1,500 puntos de venta. La construcción comenzará en abril de 2025, con operaciones que iniciarán a finales de 2025, creando aproximadamente 60 nuevos empleos.
El proyecto recibió incentivos fiscales de la Asociación de Desarrollo Industrial del Condado de Erie. Esta expansión sigue a la reciente asociación de marketing de Deckorators con el PGA TOUR y muestra el compromiso de la empresa con el crecimiento en el mercado de productos para la vida al aire libre.
UFP Industries (UFPI)는 뉴욕 Lackawanna에 30에이커 규모의 부지를 인수하여 새로운 Deckorators® 시설을 건설할 것이라고 발표했습니다. 7,700만 달러의 투자에는 240,000 평방피트의 제조 및 창고 공간이 포함되어 있으며, 이는 5년 동안 2억 5천만 달러 규모의 확장 계획의 일환입니다.
새로운 시설은 Deckorators®의 Surestone® 복합 데크 제품의 생산 능력을 두 배로 늘릴 것입니다, 이 제품은 현재 1,500개의 소매점에 진출해 있습니다. 건설은 2025년 4월에 시작되며, 2025년 말까지 운영을 시작하여 약 60개의 새로운 일자리를 창출할 예정입니다.
이 프로젝트는 Erie 카운티 산업 개발 협회로부터 세금 인센티브를 받았습니다. 이번 확장은 Deckorators의 PGA TOUR와의 최근 마케팅 파트너십에 이어지며, 야외 생활 제품 시장에서의 회사의 성장 의지를 보여줍니다.
UFP Industries (UFPI) a annoncé l'acquisition d'un site de 30 acres à Lackawanna, NY, pour une nouvelle installation Deckorators®. L'investissement de 77 millions de dollars comprend 240 000 pieds carrés d'espace de fabrication et d'entreposage, dans le cadre d'un plan d'expansion plus large de 250 millions de dollars sur cinq ans.
La nouvelle installation doublera la capacité de production du produit de terrasse composite Surestone® de Deckorators®, qui est maintenant disponible dans 1 500 points de vente. La construction commencera en avril 2025, avec le début des opérations prévu d'ici la fin de l'année 2025, créant environ 60 nouveaux emplois.
Le projet a reçu des incitations fiscales de l'Association de développement industriel du comté d'Erie. Cette expansion fait suite au récent partenariat marketing de Deckorators avec le PGA TOUR et démontre l'engagement de l'entreprise envers la croissance sur le marché des produits pour la vie en plein air.
UFP Industries (UFPI) hat die Übernahme eines 30 Hektar großen Geländes in Lackawanna, NY, für eine neue Deckorators®-Anlage angekündigt. Die Investition in Höhe von 77 Millionen Dollar umfasst 240.000 Quadratfuß Produktions- und Lagerfläche und ist Teil eines umfassenderen Expansionsplans von 250 Millionen Dollar über fünf Jahre.
Die neue Anlage wird die Produktionskapazität des Surestone®-Verbunddeckprodukts von Deckorators® verdoppeln, das mittlerweile in 1.500 Verkaufsstellen erhältlich ist. Der Bau soll im April 2025 beginnen, die Betriebsaufnahme ist für Ende 2025 geplant, was etwa 60 neue Arbeitsplätze schaffen wird.
Das Projekt erhielt Steueranreize von der Erie County Industrial Development Association. Diese Expansion folgt auf die kürzliche Marketingpartnerschaft von Deckorators mit der PGA TOUR und unterstreicht das Engagement des Unternehmens für das Wachstum im Markt für Produkte für das Leben im Freien.
- Major capacity expansion: $77M investment to double Surestone production
- Strong market presence with 1,500 retail locations
- Strategic location improving proximity to key Northeast markets
- Part of larger $250M growth plan over 5 years
- Secured tax incentives from local authorities
- New PGA TOUR marketing partnership enhancing brand visibility
- Significant capital expenditure requiring $77M investment
- 18-month wait until facility becomes operational
- Potential execution risks in construction and operational ramp-up
Insights
UFP Industries' $77 million investment in a new Deckorators facility represents an impressive strategic expansion that addresses multiple business imperatives simultaneously. By doubling Surestone production capacity, the company is positioning itself to capture significant market share in the growing composite decking segment.
The selection of Lackawanna offers compelling operational advantages. This Northeast location creates a logistics-optimized manufacturing footprint that reduces transportation costs and improves delivery times to key Eastern markets – a critical competitive edge in the building materials sector where margins can be heavily impacted by freight costs.
The 240,000-square-foot facility's design allowing for further expansion beyond the initial capacity doubling demonstrates sophisticated capacity planning. Rather than incrementally adding production lines, this approach creates economies of scale while maintaining flexibility for future growth. The accelerated timeline (operational by year-end 2025) further suggests management confidence in sustained demand.
What's particularly notable is how this facility fits within UFP's broader $250 million five-year expansion plan for Deckorators. This signals a fundamental strategic pivot toward higher-margin specialty building products rather than commodity offerings – a differentiation strategy evident in their proprietary Surestone technology that outperforms traditional WPC (wood plastic composite) materials.
The tax incentives secured from local development authorities will enhance the project's ROI, demonstrating effective capital deployment strategy that maximizes shareholder value while creating manufacturing jobs.
This $77 million capacity expansion represents a significant positive catalyst for UFP Industries' growth trajectory. With a market cap of $6.74 billion, the investment represents a manageable 1.14% capital allocation while offering disproportionate growth potential through production doubling.
The investment thesis centers on UFP's ability to capture accelerating demand for its differentiated Surestone composite decking. The expansion to 1,500 retail locations demonstrates momentum in distribution channel penetration – a critical success factor in building materials. The PGA Tour marketing partnership further strengthens brand positioning in the premium segment where margins typically outperform industry averages.
This facility addresses a crucial constraint in UFP's value chain – production capacity for a high-demand product – while simultaneously opening new geographic markets. The Northeast region represents substantial market opportunity given its population density and renovation-heavy housing stock.
The $250 million five-year expansion plan signals management's confidence in sustainable growth for this product category. What's particularly compelling is how this investment leverages proprietary technology (Surestone) rather than competing in commoditized segments, creating margin expansion potential.
The operational timeline (construction beginning April 2025, fully operational by year-end) demonstrates execution discipline and suggests revenue contribution beginning in early 2026. The tax incentives secured will enhance return metrics, demonstrating effective capital allocation strategy that balances growth investments with shareholder returns.
The site will be transformed into a new, state-of-the-art facility that will double production capacity for Deckorators'® industry-leading Surestone® composite-decking product. The
“Expanding into this region grows Deckorators’ market reach and helps us meet the aggressive demand for our new Surestone product,” said Will Schwartz, CEO of UFP Industries, Inc. “We had said at the start of this year that our focus will be on delivering quality products our customers value. This expansion—driven by customer demand—is proof positive of that commitment.”
The announcement follows an expanded presence for Deckorators at the International Business Show last month that featured the brand’s new Summit product and a multi-year marketing partnership designating Deckorators as the official decking and railing of the PGA TOUR and PGA TOUR Champions. The brand will also introduce new products later this year at DeckExpo.
“Our investment in this project reflects the strength of the Deckorators brand and our commitment to anticipating customer needs as demand for outdoor living products grows,” said Landon Tarvin, president of UFP Retail Solutions. “This facility will initially double our Surestone production capacity, with space to continue expansion, and give us better proximity to key markets.”
“We are proud to create good-paying jobs in a region of the
Last week, Deckorators received approval from Erie County Industrial Development Association (ECIDA) for a tax incentive for the new facility—a sign of the local community’s commitment to the project. Construction is slated to begin in April 2025 and be fully operational by the end of 2025. The facility will create around 60 jobs, including production support, logistics, and administrative roles.
“We are pleased to welcome Deckorators to Erie County,” said Erie County Industrial Development Agency president and CEO John Cappellino. “Their new operation in
“The city of
Deckorators® has been a leader in the composite decking industry, known for its low-maintenance and durable decking solutions powered by Surestone® technology. The proprietary mineral- based technology provides superior heat resistance, slip resistance, and minimal thermal expansion, making it a top choice for homeowners and builders looking for long-lasting outdoor solutions.
About Deckorators®
Deckorators®, the first name in decking, railing, and accessories, invented the low-maintenance aluminum balusters category and has since led the industry with innovative decking and railing products. Deckorators is part of the retail division of UFP Industries, Inc. To learn more about Deckorators® products and innovations, visit www.deckorators.com or call 800-556-8449.
About UFP Industries, Inc.
UFP Industries, Inc. is a holding company whose operating subsidiaries—UFP Packaging, UFP Construction, and UFP Retail Solutions—manufacture, distribute, and sell a wide variety of value-added products used in residential and commercial construction, packaging, and other industrial applications worldwide. Founded in 1955 and headquartered in
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Source: UFP Industries, Inc.
FAQ
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