Tessy Plastics said it will nearly double its square footage with the purchase of multiple buildings in western New York.
The Skaneateles-based manufacturer announced Wednesday its pending acquisition of a campus with three facilities at 800 Phillips Road in the town of Webster. The buildings were formerly owned by Xerox Holdings Corporation and will officially be subdivided by the end of the year. The campus is approximately one hour away from Tessy's facilities in the Cayuga County area.
In a news release, Tessy said the acquisition gives the company supplemental warehouse space and room for future growth. All three buildings add up to an estimated total of roughly 1.5 million square feet, with the largest of three buildings measuring more than 750,000.
“Knowing that we have the extra space to expand in the future is a strategic initiative that has always been important to Tessy," Tessy President Roland Beck said in a statement. "We’ve had great success in the past with having additional space. Having the extra square footage allows us to onboard programs quickly and continually adapt to our customers' ever-changing needs."
Referencing the company's production of COVID-19 test kits at the former Daikin McQuay facility at 4900 Tech Park Blvd. in Auburn beginning last year, Beck said, "We took on a large medical program that required us to have a manufacturing facility readily available. In just 15 weeks, we transformed a 400,000-square-foot warehouse into a state-of-the-art medical manufacturing facility in support of one of our largest customers’ needs regarding the global pandemic."
From protecting people against the virus to testing for it, Tessy Plastics made the COVID-19 pandemic a significant part of its business in 2020.
Tessy said it plans to lease a portion of its Webster acquisitions to third-party tenants and utilize the remainder as warehouse space, with the assumption that the buildings will later turn into full-scale production plants.
“It’s remarkable to see how much we have grown," Beck said. "In 2016, we were excited to nearly double our total square footage and now we have close to triple that amount totaling close to 3 million square feet in Central New York."
Tessy said it will take official ownership of all three buildings by the end of the year. Two out of the three buildings are already vacant and the third will be vacant by 2022.
