Iowa Fastener, a subsidiary of fasteners manufacturer and distributor Birmingham Fastener, plans to invest $10 million to $12 million in a new distribution center in Ankeny, IA.

The planned 82,000-square-foot facility will be built on approximately 5.5 acres adjacent to the company’s existing 35,000-square-foot leased warehouse at 2302 SE Creekview Drive, according to an Oct. 28 report from the Business Record.

The new facility, which will be owned rather than leased, is expected to be completed by July or August 2027. Iowa Fastener will continue operating from its current location until construction is complete.

Iowa Fastener distributes nuts, bolts, clips, gaskets and O-rings to original equipment manufacturers (OEMs).

General Manager Rick Parker said the expansion is intended to accommodate growing customer demand. Since opening in 2019 with approximately 10,000 square feet, Iowa Fastener added 15,000 square feet after its first six months and another 10,000 square feet in 2026.

The company has also grown from serving a single customer in 2019 to hundreds today.

The Ankeny City Council approved an incentive package for the project on Oct. 19, including seven years of tax increment financing rebates totaling up to $735,000. Under the agreement, Iowa Fastener must create three jobs while retaining its existing 17 positions.

Ankeny-based ATI Group will manage construction, while Rains Architecture of Johnston, IA, is handling the facility’s design.

Parent company Birmingham Fastener operates manufacturing and distribution facilities across the U.S. and Mexico, supplying industrial fasteners and related products to OEM, MRO, construction and other markets.