El Paso could see significant growth in its logistics sector with the development of FORM375 at Paso Del Norte. The project, led by Dallas-based developer Formation Interests, represents an estimated $9 million investment. Catamount Constructors began construction earlier this year.

“The City Council did approve a Texas economic development fund agreement with FORM375 last year,” said Karina Brasgalla, director of the city of El Paso’s Economic and International Development Department. “What’s really important about new industrial and warehouse development is that we want to encourage that development near the Ysleta Port of Entry.”

According to Formation Interests’ website, the four-building development will total 802,604 square feet. The project combines several parcels of land near the Zaragoza Port of Entry that were previously considered difficult to sell.

Formation Interests says the project’s proximity to the international crossing could reduce the distance between the port and nearby warehouse facilities, shortening the final stage of some cross-border shipments.

“It’s very exciting to see outside companies having an interest and seeing the value and investing in El Paso,” Brasgalla said. “The Ysleta Port of Entry is one of our biggest opportunities for economic growth in the region.”

Rendering of the Form375 industrial project

FORM375’s location distinguishes it from other industrial developments in the El Paso border region. According to Formation Interests, it is the only industrial park in El Paso with a Zaragoza Road address and a fee-simple site of its size near the port of entry. Land near the border is often landlocked, fragmented or controlled by government entities, making large-scale private development difficult.

“At a time when global supply chains are rapidly shifting, the opportunity to develop this site could not have occurred at a better time,” Formation Interests CEO Adam Herrin said in a news release. He cited El Paso’s proximity to Ciudad Juárez and its expanding manufacturing base.

The development also comes as the federal government plans to close commercial traffic at the Bridge of the Americas because of long-standing maintenance issues. Brasgalla said much of that traffic is expected to be redirected to the Ysleta Port of Entry, which is next to the FORM375 site.

“With the federal government’s closure of the Bridge of America, we expect somewhere between 70% and 90% of that traffic to be reallocated to the Ysleta Port of Entry,” Brasgalla said. “So creating that capacity for commercial traffic is really important.”

The additional warehouse capacity could help companies reduce drayage costs and transit times. Border-crossing delays can last up to two hours, according to project information.

“We’re absolutely at max capacity for warehouses, so adding additional square footage to inventory within the city of El Paso is really important,” Brasgalla said. “The current low vacancy rate, but for the past several years, it has been kind of a growing concern in the industry. We have really full warehouses and then we don’t have a lot of brand-new warehouse development. That’s the other thing, opening up some Class A warehouse space is really important for different kinds of industrial uses.”

In a LinkedIn post, Formation Interests said the site is positioned to benefit from nearshoring trends in the El Paso-Juárez market.

FORM375 is also expected to create local jobs.

“They’re expected to have around 340 jobs on site, looking at an estimated $25 million in annual local wages and $57 million in additional tax revenue over the next 25 years,” Brasgalla said.

According to the Texas Department of Licensing and Regulation, FORM375 is scheduled for completion by Feb. 28, 2027.

Once completed, the development is expected to add warehouse capacity near one of the region’s busiest commercial border crossings and strengthen El Paso’s role in international logistics.