SDA Relocation Study

The South Depot Annex (SDA) Area, a critical part of NSA HR’s real property portfolio, spans over 600,000 square feet of warehouse space and 31,000 square yards of laydown area. Constructed in 1942, the SDA Area is home to the Defense Logistics Agency (DLA) Disposition, which manages Department of Defense (DoD) “reverse logistics” for over 20 Navy and DoD customers. On any given day, the facility processes more than 7,500 items valued at over $30 million. Since relocating from St. Julien’s Creek Annex in 2019, DLA Disposition has invested $14.5 million in SDA facilities to support these operations. The SDA Area’s strategic location adjacent to the Norfolk International Terminal (NIT) positions it as a key asset within the global supply chain. However, site constraints at NIT have made the SDA Area the only viable option for expansion. This has prompted considerations for a potential real estate agreement between the Department of Navy (DON) and the Virginia Port Authority (VPA), which would require relocating current SDA activities to new or existing facilities in the Hampton Roads region. This project is focused on developing an evidence-based Course of Action (COA) for the relocation of SDA missions. Through robust planning and stakeholder engagement, the study will define the operational, economic, and environmental impacts of a potential real estate agreement, ensuring an informed path forward for the SDA Area’s future.
warehouse