Aldi is getting serious about its California expansion. The supermarket chain has recently acquired a 55-acre site in Moreno Valley
to establish its Southern California regional headquarters, as part of its plans to open 650 new stores
in the United States over the next five years. The price of the acquisition was not disclosed.
The Batavia, Illinois-based company will construct a 850,000 square foot distribution center
east of the 215 Freeway at Redlands Boulevard that is intended to serve about 200 stores in the region, according to Los Angeles Times.
This will be the company’s first expansion into California, as most of its nearly 1,300 stores are located on the East Coast or in the Midwest. Aldi plans to open about 130 new locations every year
over the next five years, up from its average of 80 stores in recent years. It is not yet known when its headquarters or distribution center will open.
“We are eager to bring the Aldi difference to new markets like Southern California,” said President Jason Hart in a statement last December. “We’re ramping up our expansion plans to meet growing demand.”
A German-based company, Aldi is owned by the Albrecht family, which also controls the Monrovia-based Trader Joe’s chain. The current Aldi’s model attracts shoppers with less expensive private-label items. More than 90% of the food and other grocery items available at Aldi’s stores are under exclusive Aldi brands, rather than national brands.
While the company has not yet disclosed where its new Southern Californian stores will be located, the competitive market within the region is sure to heat up with this newcomer.