Kaufland/Lidl: German retailer to spend $450m on new DC

Kaufland/Lidl: German retailer to spend $450m on new DC

Kaufland, one of the world’s largest supermarket chains, has confirmed it will open its first Australian distribution centre at Merrifield Business Park in Melbourne’s north.

The supermarket chain has purchased a large 28-hectare site on which it plans to construct a 110,000 square metre purpose-built distribution centre that will service their stores.

The facility will be one of the largest of its kind in Australia and feature extensive temperature controlled storage, the latest automated warehousing with a 40 metre high-bay storage as well as a 3,600 square metre office. The total investment in the facility is upwards of $450 million.

The facility is expected to bring an additional estimated 600 jobs to the local area upon completion.

The retailer, which is owned by Schwarz Group, the fourth largest retail chain in the world, selected Merrifield Business Park due to its strategic location on the Hume Freeway and proximity to Melbourne.

It is the fourth major deal for MAB Corporation and its partner Gibson Property Corporation at Merrifield Business Park, with Kaufland joining Dulux, D’Orsogna and Steritech in Victoria’s largest business park.

A Kaufland spokesperson said: “Our new state of the art distribution centre at Merrifield Business Park will be the company’s single biggest investment in Australia and enable  Kaufland’s expansion. Merrifield was selected for its strategic location and ability to cater for future expansion of the facility.”

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