Kraft Heinz investing $400M in automated packaged goods distribution center

The Kraft Heinz Co. is investing $400 million in a 775,000-square foot automated consumer packaged goods distribution center in Dekalb, Illinois.

The facility, around 60 miles west of Chicago, will distribute more than 60% of the company’s foodservice products and 30% of all dry goods, according to a news release.

The distribution center, expected to create more than 150 jobs, will include a 24/7 automated storage and retrieval system and will feature sustainable technology aimed at reducing waste and minimizing environmental impact.

“As we continue on our journey to lead the future of food, our talented North America teams and collaborative external partners are innovating at a rapid pace to expand our supply chain capabilities,” Carlos Abrams-Rivera, executive vice president and president of North America at Kraft Heinz, said in the release. “The DeKalb distribution center is expected to play a critical role in our larger distribution strategy …”

The center is expected to be online in 2025.

Dallas-headquartered global real estate development firm Trammell Crow Co. will develop the project. Illinois-based Krusinski Construction Co. will be the general contractor.

The city of Dekalb and the DeKalb County Economic Development Corp. are also partners on the project development.

“We are very excited that Kraft Heinz will bring its worldwide reputation for quality products and services to our community,” Cohen Barnes, mayor of DeKalb, said. “The construction and post-construction employment opportunities they bring will have a positive and lasting impact on our residents, and this positive impact is compounded by the additional diversification of our tax base, which will spur further interest in DeKalb for many years to come.”

In 2022, Kraft Heinz had net sales of approximately $36 billion, according to the company.