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Affiliated Foods to build warehouse in Kenosha

15.05.2008 03:01 Home - Source: JS Online

Affiliated Foods Midwest Cooperative Inc. will receive an $800,000 loan and a $400,000 grant from the state Department of Commerce for a distribution center to be built in Kenosha.

Affiliated, based in Nebraska, will spend $99 million for the 731,000-square-foot building. Completion of the building, at 8410 60th St., is expected in spring 2009.

The company expects to employ 450 people at the center, including 350 to be hired in Wisconsin.

Affiliated distributes groceries to stores across the Midwest, including 25 in Wisconsin.

Affiliated currently has two distribution centers, a 1-million-square-foot facility in Norfolk, Neb., and a 400,000-square-foot center in Elwood, Kan.

The Kenosha center will serve stores in Wisconsin, Illinois, Indiana, Minnesota, Michigan and Ohio. Martin Arter, president of Affiliated, said the Kenosha distribution center would accommodate the company's growth in those states.

"Rising transportation costs and logistical concerns make it impractical to serve our northern region from our existing distribution centers," Arter said in a release.

Kenosha's location along I-94 between Milwaukee and Chicago makes it a good location for the center, the company said.

Affiliated plans to use the $1.2 million from the state for construction and training costs.

The Affiliated co-op is owned by independent grocers in 12 states.

It traces its roots to 1931 in Plainview, Neb., when a few independent grocers pooled their resources to buy collectively from suppliers.

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