Dive Brief:
- Kroger will build a distribution center on 200 acres at the former Fort Gillem outside Atlanta.
- The largest supermarket chain in the country is the first key client to commit to developing the facility, which local authorities envision as a major logistics and distribution hub for the Southeast.
- Kroger will spend $250 million on the distribution center, which it plans to open by September 2015.
Dive Insight:
Kroger has been spending a lot of money of late. It's poured millions into an expansion in Texas, poured billions into buying Harris Teeter, and poured undisclosed amounts of cash into buying a digital-coupon company and developing a line of LNG trucks.
And just like all those earlier moves, the decision to build near Atlanta makes considerable sense. First, Fort Gillem has a history in the logistics business. It was the home to a slew of Army supply units and to the now closed Navy Supply School. More importantly, there's probably a lot of talented distribution folks looking for work in the area since Coke downsized its operations there in 2013.