In a bid to cater to this growth, Woolworths has lodged preliminary plans with the NSW government for a proposed multi-storey 60,000 sq m fresh food distribution centre at 250 Victoria Street, Wetherill Park, in Sydney’s west.
The supermarket giant already has a large exposure to the area and if the plan is approved would probably reassess its portfolio, including a temperature-controlled facility at its Minchinbury distribution centre.
The value of the development has not yet been confirmed, but the group said proposals involving a capital investment of more than $50 million are considered a State Significant Development by NSW and are assessed by the state’s planning department.
If approved, the site would support up to 700 ongoing jobs and more than 500 jobs during construction.
The temperature-controlled facility would have the capacity to sort and deliver more than 3700 fresh produce and chilled lines to more than 285 NSW supermarkets.
Woolworths director of property Ralph Kemmler said given the group’s NSW business continues to grow, it needed to think ahead and plan for future infrastructure and property needs.
“Wetherill Park is strategically located in close proximity to a large number of our stores, suppliers and transport providers and would be an ideal Sydney base for our fresh food distribution in the future,” Mr Kemmler said.
“We’re fortunate to have secured land in this location, but will need development approval for this proposal. We look forward to engaging with the local community, NSW government and Fairfield City Council on our plans in the months ahead.”
The co-location of fresh and chilled operations across a multi-storey site would provide significant transport and environmental benefits by consolidating freight loads. Woolworths said this would help remove more than 11,000 truck movements from Sydney roads each year.
Woolworths has also boosted its Metro business with a new lease to be an anchor tenant at the planned Mastery by Crown Group residential development in Sydney’s Waterloo district.
The Crown Group sales team finalised $15 million worth of sales for retail space at the site last month, taking the total retail space sold at the site to $40 million.
Mastery by Crown Group is a $520 million development that will become Australia’s first Japanese-themed multi-residential development. Its 2177 sq m retail precinct, with 27 stores and dining outlets, will feature a dedicated Japanese eat street.
The new Woolworths Metro will be located on the ground floor of Building E, facing Archibald and Gadigal avenues.
The development will comprise 368 luxury apartments built across five distinct buildings designed by three world-leading architectural firms – Japan’s Kengo Kuma and Australian firms Koichi Takada Architects and Silvester Fuller.
Carolyn Cummins is Commercial Property Editor for The Sydney Morning Herald.