Goldwell Cosmetics USA will build a 190,000-square-foot, $22 million headquarters in Linthicum, the company said yesterday, following its $4.55 million purchase Tuesday of 19.8 acres of land in the Hock Business Park.
"We'll be an ultra-modern facility," said Derek L. Anderson, vice president of operations of the unit of the German maker of hair coloring and permanent wave products. "We'll go from having 64 employees [at the current headquarters in Annapolis Junction] to 140 by 1998."
The company will move to Linthicum the production of many top-of-the-line hair color products it now imports from Germany, Mr. Anderson said. He said the facility will mix products from raw materials in Linthicum, but the much more intensely industrial process of making the raw chemicals will continue to be done elsewhere.
Skip Case, a broker with Carey Winston Co. in Laurel who represented Goldwell, said this is the second big project for the industrial park since its infrastructure was completed in 1989. The first was a U.S. Postal Service warehouse.
Mr. Anderson said the complex will include about 140,000 square feet of manufacturing and warehouse space, about 24,000 square feet of office space and about 10,000 square feet for a training center, where the company will run seminars for hair stylists and for its own sales force.
The company liked the location at Nursery Road and the Baltimore-Washington Parkway because of its access to Baltimore-Washington International Airport and the Port of Baltimore, Mr. Anderson said.
He said the U. S. unit has about $74 million in annual sales, for about a 5 percent share of its industry. The company markets its products through salons, and its competitors are high-end manufacturers such as Matrix, Paul Mitchell and Redken. Goldwell's parent is KAO Corp. of Japan.
Groundbreaking is set for September 1, with opening slated for next summer.
Goldwell's deal is one of a series of major warehouse transactions expected late this year. In addition to the Time Warner Inc. announcement Wednesday that its Warner Brothers Worldwide Retail unit will build up to 1 million square feet of warehouse space in White Marsh, brokers who serve the industrial market expect a dozen or more tenants to make deals for 100,000 square feet or more this year.
The shortage of such large pieces is expected to spark construction of more build-to-suit projects like Goldwell's, as tenants find it hard to find what they need in the tightening market for existing space.