Ocado’s US client Kroger has announced the location for its second distribution centre.
The US grocer announced it would invest $55 million in a new fulfilment centre located in Forest Park, Georgia.
The 375,000 square foot site will allow it to deliver fresh food more quickly in the Atlanta area. The two companies will break ground on the site this year with it set to become operational in 2021.
The partners have already begun work on the first fulfilment centre in Ohio, set to become operational in spring 2021.
In total, Kroger has committed to building 20 of Ocado’s customer fulfilment centres. The sites use extensive automation to pick and dispatch orders more quickly.
Robert Clark, Kroger’s SVP of supply chain, manufacturing and sourcing, said: “Kroger is incredibly excited to construct one of our industry-leading customer fulfilment centres in Forest Park—a city south of Atlanta—through our relationship with Ocado.
“Through our strategic partnership, we are leveraging advanced robotics technology and creative solutions to redefine the customer experience across America.”
This is the second Kroger-Ocado fulfilment centre to be announced, a boost for Ocado as it looks to move on from the £110 million cost of a fire at its Andover warehouse in February.
The retailer was forced to take back capacity from Morrisons in its centre at Erith, North London, in order to replace the lost capacity.