The Woolworths Group's supply chain arm, Primary Connect, has started construction on the new Heathwood Distribution Center (DC) in southeast Queensland.
The 42,000 m² temperature controlled facility enables fresher, faster and more efficient delivery of around 4,000 frozen and chilled products to more than 260 stores in Queensland and north New South Wales.
The DC is due to open in the first half of 2022 and will be located alongside the production facility of Woolworths meat supplier Hilton Foods Australia. This enables up to 390 truck movements per week from the streets in Brisbane to be handled by consolidating the delivery loads to the branches.
Dale Acton, Queensland General Manager, Primary Connect said, “We are proud to invest in our Queensland supply chain network for the benefit of our customers and store teams.
“This development will help us provide better service and fresher groceries to our stores, take trucks off the streets of Brisbane and create exciting new career opportunities for Queenslanders. The additional delivery capacity made possible by Heathwood DC will be key to supporting our continued growth in Queensland for many years to come.
"Over the next five years, we plan to invest a total of $ 500 million in the Queensland economy through our store network and our supply chain, e-commerce and mall developments, creating more than 5,000 new jobs."
The DC is being built by Vaughan Constructions and will create around 200 jobs in Queensland throughout the construction.
At full capacity, more than two million boxes a week are transported through Heathwood DC to bring customers chilled and frozen goods from more than 400 suppliers. Heathwood DC is also aiming for a five-star Green Star rating from the Australian Green Building Council, with a large solar panel system on the roof and charging stations for electric vehicles.
The $ 184 million investment in Heathwood DC is largely funded by LOGOS (real estate development costs of $ 148 million), with Woolworths signing an initial 15-year lease on the property.
Darren Searle, Head of Logos in Australia and New Zealand, said, “We are excited to begin building the third facility at our $ 500 million Heathwood Logistics Estate with our long-term partner Woolworths. The 42,000 square meter facility will complement the 25 acre property as a premier food distribution hub for Brisbane and the Greater Region alongside Asahi Beverages and Hilton Foods. We look forward to working with Woolworths, Brisbane City Council and Vaughan Constructions to deliver this five star, green star facility. "
In October 2020, Woolworths announced a $ 12 million upgrade to its Townsville Regional DC – more than double its original footprint. The company also operates the 92,000 m² Brisbane Regional Distribution Center in Larapinta to sort fresh and local produce and deliver it to stores across the state.
