GSA Launches $328 million Commercial Port Project in Douglas

Port facility to expand capacity, enhance security, improve safety and boost local economy

DOUGLAS, Ariz. - Today, the U.S. General Services Administration (GSA) joined local, state, federal, and Mexican officials to break ground on the new commercial Douglas Land Port of Entry (LPOE) in southeast Arizona. The event marks the start of the construction project to build a dedicated commercial port 4.5 miles west of the existing Raul Hector Castro LPOE in downtown Douglas. Upon its completion, U.S. Department of Homeland Security - Customs and Border Protection (CBP) will permanently relocate commercial inspection operations from the Castro port to the new facility, enhancing border security and ensuring the safer transport of oversized mining equipment and chemicals critical to the regional mining industry.

“This project reflects GSA’s commitment to building safe, secure, and modern ports of entries that meet the needs of today and anticipate the demands of tomorrow,” said GSA Public Buildings Service Acting Commissioner Andrew Heller who attended the groundbreaking. “By investing in this new commercial port, we’re not only enhancing trade and security at our southern border, we’re also supporting regional economic growth and laying the groundwork for greater prosperity in southeast Arizona.”

The expansive 80-acre facility will increase inspection capacity with four northbound and two southbound commercial vehicle inspection booths, a covered secondary inspection area featuring 36 truck inspection bays, secure holding areas, advanced non-intrusive inspection technology, and dedicated hazardous materials processing spaces. The new port represents an upgrade from the current Castro LPOE commercial operations, which include only two northbound commercial inspection booths and five secondary inspection dock bays. 

“Today’s groundbreaking marks the beginning of a long overdue vital infrastructure project that will further enhance our nation’s border security while facilitating lawful commerce. The Douglas Commercial Cargo facility will allow the Office of Field Operations to run a comprehensive commercial operation with expanded space allowing for various entry lanes and inspection docks with modern technological advances to enhance our inspections and processing, said CBP Director of Field Operations Guadalupe Ramirez. “This new facility will incentivize an increase in commerce throughout the area which will have a significant economic impact within the local community, the state and the trade community.  Our ports of entry are economic engines for our nation. We look forward to the completion of this monumental project with excitement for the future.”

Additional project features include 176,000 gross square feet of administrative office space, service dog kennels, state-of-the-art training facilities, and vehicle safety inspection facilities for the U.S. Department of Transportation - Federal Motor Carrier Safety Administration and the Arizona Department of Transportation.

The port project has already catalyzed additional regional investments, including construction of a new utility corridor along State Route 80, development of a new industrial warehouse and business park zone, installation of broadband internet infrastructure, and creation of new construction, service and manufacturing employment opportunities in southeast Arizona.

“Today’s groundbreaking represents a transformative moment for Douglas and our entire region,” said Mayor Jose Grijalva. “This new Land Port of Entry will modernize our border infrastructure with state-of-the-art facilities that will streamline trade and travel between the United States and Mexico. The economic impact will be substantial – creating jobs, attracting new businesses, and strengthening our position as a vital gateway for international commerce. Most importantly, this project demonstrates our commitment to our community’s future, ensuring that Douglas remains a thriving border city that benefits from increased trade while maintaining the security and efficiency that both nations require.”

GSA is finalizing a master plan for both the new commercial port project and a separate modernization and expansion project at the Castro port of entry to ensure coordinated delivery and maximum value for the taxpayer. Combined, these two initiatives represent the largest federal port infrastructure investment in Arizona in a generation, with a total project value exceeding $600 million. Construction activity is expected to continue through fall 2028.

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About GSA: GSA provides centralized procurement and shared services for the federal government. GSA manages a nationwide real estate portfolio of over 360 million rentable square feet, oversees more than $110 billion in products and services via federal contracts, and delivers technology services that serve millions of people across dozens of federal agencies. GSA’s mission is to deliver the best customer experience and value in real estate, acquisition, and technology services to the government and the American people. For more information, visit GSA.gov and follow us at @USGSA.