Friday Mar 17, 2017
Kroger developing $60 million distribution center
Kroger Co. is developing a $60 million distribution center in Greater Cincinnati.
Kroger (NYSE: KR) purchased Park 536 from VanTrust Real Estate LLC for nearly $34 million and will invest another $26 million developing the former speculative industrial building into a 674,000-square-foot ambient distribution center. The facility, located at 251 E. Mount Zion Road in Florence, will create nearly 100 new jobs when it opens later this year.
Kroger purchased Park 536, a speculative industrial building in Florence, that will be… more
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“More than 8.5 million customers shop in our stores every day and our goal is to always have our shelves stocked with the variety and selection our shoppers want,” said Frank Bruni, Kroger’s vice president of supply chain and logistics. “The new facility will help our logistics team to improve lead times and drive efficiencies for our stores and ultimately our customers.”
Kroger will use the facility as a replenishment center, servicing the company’s direct-to-store distribution centers across the eastern half of the country.
Gary Moore, judge-executive of Boone County, said this is an “impressive investment” by Kroger that “will have a positive ripple effect throughout Northern Kentucky.”
VanTrust started development of the spec building in 2015. Park 536 has nearly 12 football fields of space under roof.
Norm Khoury and John Gartner, both brokerage senior vice presidents with Colliers International, represented VanTrust in the sale, while Brian Leonard, executive vice president with JLL, represented Kroger.
Downtown-based Kroger, the nation’s largest operator of traditional grocery stores, employs more than 21,000 people in Kentucky and more than 20,000 in the Tri-State.