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Kroger Announces $17 Million Investment in Northern Kentucky Distribution Center

Kroger Announces $17 Million Investment in Northern Kentucky Distribution Center

Monday, July 9th, 2018

Kroger is infusing some new life into its distribution center in Florence, Kentucky. The retail giant announced it is investing $17 million in the facility, bolstering its distribution footprint and ramping up production.

"This significant investment in the distribution facility and our associates will allow us to more efficiently reach our customers and help to deliver on new ways to shop with Kroger, as we redefine the grocery customer experience through Restock Kroger," said Frank Bruni, Vice President of Supply Chain and Logistics. "We have long appreciated the support from Boone County and the state of Kentucky, and look forward to growing together."

Kroger announced it is investing $17 million in ramping up production for its Florence, Kentucky-based distribution center

In addition to helping the company expand in Kentucky, the investment will add an estimated 250 new jobs, the majority of which will be full-time positions.

Opening in October of 2017 with a $60 million initial investment, the 674,000-square-foot and 80-associate replenishment center was built to service the company's direct-to-store distribution centers across the eastern half of the country and Kroger's growing e-commerce and digital business, according to a press release.

The new project is supported by a Kentucky Business Investment (KBI) incentive of up to $1 million over 10 years. The company noted its annual eligibility for the performance-based tax credit is linked to investment, job creation and retention, and average hourly wage targets.

Matt Bevin, Governor, Kentucky"It was less than a year ago that Kroger opened its distribution center in Boone County, and it is clear from this additional investment that the company recognizes Northern Kentucky as the best possible location for further success and growth," said Kentucky Governor Matt Bevin. "Distribution and logistics is a thriving industry in the commonwealth, and this announcement is just the latest confirmation of that fact. We greatly appreciate Kroger's confidence in the Northern Kentucky region and its ongoing commitment to investing and growing in our state."

Kentucky Senator John Schickel, of Union, said Northern Kentucky is on an economic development roll and Kroger's investment builds on that success.

John Schickel, Kentucky Senator, U.S. Senate"We are grateful to Kroger for this huge investment of nearly $18 million into our local economy in Boone County," said Senator Schickel. "Employment is on the rise in Northern Kentucky, and these 250 new jobs will keep our economic momentum going. Thanks to Governor Bevin and the folks at the Cabinet for Economic Development for making this expansion possible and for continuing to create a strong business climate in the commonwealth."

Kentucky Representative Sal Santoro, of Florence, Boone County Judge-Executive Gary Moore, and Judge-Executive of Kenton County and current Northern Kentucky Tri-ED Board Chair Kris Knochelmann all applauded the move.

The distribution facility begin hiring new associates in September, accepting candidate applications here.