Utz Brands has signed a built-to-suit agreement for a new ~650,000-sq-ft leased distribution center located in Hanover, Pa. Known as the Northeast Logistics Center, the site will provide incremental warehouse capacity to improve inventory management by handling items in one location. It also will facilitate Utz Brand customers’ ability to order multiple brands on a single order, streamlining transaction flow and improving customer service.
In addition, an optimized warehouse footprint will enable investment in automation and the implementation of a best-in-class warehouse management technology system. The distribution center is expected to open in the first quarter of 2025.
The new facility fits into several of the company’s optimization initiatives that are intended to support long-term volume growth and reduce costs. The initiatives will simplify Utz Brands’ existing plant network and streamline its operating structure by consolidating volume into a smaller number of facilities, which is expected to lower costs and improve margins.
