Kroger has recently teamed up with Penske Logistics to utilize the distribution company’s $98.5 million warehouse facility as part of the retailer's move in the Michigan market. Kroger's products will be exclusively housed in the new warehouse, which offers the company the chance to streamline its Michigan operations
"All products housed in the new distribution center are Kroger products and the facility will only service Kroger's Michigan Division," said Rachel Hurst, Corporate Affairs Manager for Kroger, in a news release.
Referred to as the Michigan Fresh Center, the warehouse is already fully operational, taking up 47 acres south of the Detroit Metropolitan Airport. Employing 460 individuals, the new 606,000-square-foot facility consists primarily of cold storage—weighing in as possibly Southeast Michigan’s largest fridge—with other areas of the warehouse dedicated to dry goods, a Penske spokesperson, Kimberly Harmsen, said, reports Crain’s Detroit Business.
The warehouse supports Kroger’s food distribution across the company’s 120 stores throughout the state of Michigan with 105 loading docks. Penske Logistics is a wholly owned subsidiary of Penske Truck Leasing and provides distribution center management and warehousing services to Kroger in other locations in the U.S., according to the news source.
Will the facility and enhanced distribution potential enable Kroger to gain dominance in the Michigan market? Deli Market News will report.