Discount supermarket chain Aldi’s plan to build an 821,000-square-foot distribution center and regional headquarters on State Road 7 will move forward, with a village panel’s approval of a preliminary site plan for the $50 million project.
The center is scheduled to open late next year and will be on 72 acres behind the Regal Royal Palm Beach Stadium 18 cinema on the west side of State Road 7.
A report prepared last year by the Palm Beach County Office of Economic Development forecast that the center would have a $68 million economic effect on the county in its first year of operation. It projected a five-year economic impact of $112 million.
“This isn’t just positive for the village, it’s positive for the county as a whole,” said Vice Mayor Fred Pinto. “This is a major corporation that’s looking to expand their business footprints across South Florida and we’re lucky they chose Royal Palm Beach.”
Aldi, which operates 1,000 stores in 31 states, is making what it calls a “significant” investment in South Florida, with plans to open 60 stores in the region — about 20 in the county. The chain began opening stores in South Florida in 2008.
Aldi opened a store in Delray Beach last August, its first location in the county and is scheduled to open this year in the village where Toys ‘R’ Us is located on the east side of State Road 7 in the Royal Palm Beach Commons shopping center.
When looking for a site for a new distribution center, Aldi also toured locations in Miami-Dade and Broward counties. But Kelly Smallridge, president of the Business Development Board of Palm Beach County, said Royal Palm Beach was selected primarily because of its proximity to such major transportation arteries as Florida’s Turnpike, as well as the property’s size and price.
It didn’t hurt that the county commission in October approved $1.7 million in tax breaks over seven years for the project. Smallridge said the county worked on the deal for about 18 months.
The center will serve about 60 stores and operate as a regional hub for Miami-Dade, Broward, Palm Beach, Martin, St. Lucie and Indian River counties.
“This is the largest economic development deal from a physical standpoint for the county in the last two, three years,” Smallridge said. “This facility will be the largest taxpayer for the village of Royal Palm Beach.”
Source: Palm Beach Post
Get the latest industry news and information from CRE-sources delivered right to your email inbox! And we promise…no more than one email each morning.
And we promise…no more than one email each morning.