Capacity LLC, an order fulfillment firm based in North Brunswick’s warehouse and distribution hub, is growing and consolidating in one fell swoop.
On November 19 the company announced that it had signed a two-year lease for the entire facility at 1101 Corporate Road. The 130,275 square-foot warehouse, built in 1980, sits on 11 acres.
Arlen Fish, Capacity’s CFO and one of its four founders, said the deal shores up space for the company’s growing business, directly next to where it opened its doors in 2000. Capacity is not moving, it is just consolidating its three buildings into a contiguous space.
Fish said the move allows Capacity to grow in the future without having to move. Just a few years ago Capacity had fewer than 150 workers, counting full-time and temporary help. Today the company employs more than 40 full-time and 150 temps daily.
Fish credits the doddering economy with allowing his company to grow. In such an economy, he said, companies re-think their outsourced warehouse space and try to streamline their operations. Capacity leases four warehouse facilities, all in the North Brunswick area, typically to companies in need of maximizing warehouse space.
A typical example is the company’s first client, NetGrocer.com, which had a warehouse with 30-foot ceilings, but was only utilizing eight feet. According to co-founder and chief strategic officer Tom Campbell, the Capacity consolidated NetGrocer’s inventory and leased out the remaining space to others.
Such refinements come part and parcel to a bad economy, but Fish said that Capacity’s business has improved for good reasons too. “We cater to small and mid-size companies. Occasionally one of them breaks out and moves beyond that size, and that fosters our growth too.”
In general, Capacity is set up to serve clients that, at the low end, ship half a dozen items to consumers every day and ship a few orders a week to businesses, Campbell said. Its speciality is “pick and pack” business, where individual items are received from a vendor and sent, often just one, or several, at a time to consumers or to boutiques.
“People use us as a cost-savings measure,” said Fish, a former senior associate with JP Morgan Chase, who earned his bachelor’s in accounting from Wisconsin and his MBA from NYU.
Scott Belfer, Lou Belfer, and Mindy Lissner of CB Richard Ellis represented the sublandlord.John Maloney of CB Richard Ellis represented Capacity.
Capacity LLC, 1112 Corporate Road, Monmouth Junction 08852; 732-745-7770; fax, 732-745-0450. Jeff Kaiden, CEO. www.capacityllc.com.