Delhaize USA to Open $860M East Coast Distribution Center
Burlington, N.C., Facility to Serve Food Lion and Sister Brands
Key Takeaways:
- Ahold Delhaize USA will invest $860 million to build a 1 million-square-foot distribution center in Burlington, N.C., to support Food Lion and other grocery brands.
- The facility is expected to create more than 500 jobs by 2033, with initial hiring of 120 positions generating $10.7 million in annual payroll.
- Operations are slated to begin in 2029, supported by a $250,000 state performance-based grant aimed at expanding the company’s East Coast supply chain capacity.
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an $860 million investment by grocery retailer Ahold Delhaize USA to build a large distribution center in Burlington to bolster brands like Food Lion throughout East Coast markets.
“Food Lion has years of experience feeding North Carolina,” Stein said. “We are excited that Ahold Delhaize USA has chosen to double down on its investment in the state and establish this important new facility in Burlington.”
Ahold Delhaize USA is a unit of Ahold Delhaize, which operates five omnichannel grocery brands: Food Lion, The Giant Co., Giant Food, Hannaford and Stop & Shop. Together, the companies comprise the East Coast’s largest retail grocery group. The group is the fourth-largest U.S. retail grocer and provides food to 26 million customers each week. It ranks No. 38 on the Transport Topics Top 100 list of the largest private carriers in North America.
“Through the new distribution center, ADUSA Distribution and ADUSA Transportation will expand their capacity to support Food Lion’s growth in the state, along with bringing new jobs,” said JJ Fleeman, CEO of . “We’re excited to locate this facility in North Carolina and continue to grow our presence in a state where our companies have done business for more than 65 years.”
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ADUSA Distribution and ADUSA Transportation are the supply chain operations companies of Ahold Delhaize USA that will deliver fresh and frozen grocery items from the North Carolina facility to Food Lion and stores of other corporate brands. The supply chain network has one of the largest fleets on the East Coast with more than 8,000 assets, logging about 125 million miles annually. In addition to the facility, ADUSA Distribution and ADUSA Transportation operate three other North Carolina distribution centers in Salisbury, Butner and Dunn.
To maximize efficiency, the site will leverage proven supply chain automation technology. The distribution center is expected to occupy 1 million square feet off N.C. Highway 61, the main north-south freight route in eastern Guilford County. The location also offers direct access to major interstates and rail infrastructure.
Operations are to start in 2029. Over time, the site is expected to have more than 500 employees.
“This location positions Ahold Delhaize USA to optimize supply chain efficiency and enhance the experience for Food Lion and its customers. Construction and hiring are expected to ramp up in phases, with the company’s full hiring timeline projected to be completed by Dec. 31, 2033,” according to the Greensboro Chamber of Commerce.
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The payroll impact of an initial 120 positions is expected to inject $10.7 million per year into the local community.
“Ahold Delhaize USA’s expansion demonstrates the power of North Carolina’s world-class logistics ecosystem and its unmatched ability to support industry growth,” said Christopher Chung, CEO of the Economic Development Partnership of North Carolina. “From our transportation networks to our skilled workforce, the fundamentals that attract global companies continue to get stronger. We are honored to partner with Ahold Delhaize USA as they deepen their commitment to our state.”
The company received an economic incentive through a performance-based grant of $250,000 from the One North Carolina Fund based on an investment of $860 million and 120 new jobs.
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