To replace its existing facility in Secaucus, N.J., Kering announced plans to build a new 770,000-square-foot distribution center on a 31.8-acre lot in nearby Wayne, N.J. that will house a “state-of-the-art” distribution center.
The luxury group behind Gucci, Yves Saint Laurent, Balenciaga and Alexander McQueen said the move is part of its overall plan to “usher in a new operating model” via a considerable reorganization of its regional logistics capabilities in the U.S., Asia and Italy.
The facility will be the second-largest building in the township of approximately 54,000 people, aside from the 1,514,000-square-foot Willowbrook Mall. Kering said the facility will serve the group’s North American operations center.
Scheduled to open in 2020, the new space will also include an 80,000-square-foot office space for employees located in the northeastern United States. Additionally, Kering will be building a 17,500-square-foot repair center on the same lot for products sold in the region.
Kering confirmed that the building will apply to be LEED Gold certified, signaling that the new construction will be highly energy-efficient, though this will likely raise the initial construction costs. The group said the project will align with its “commitment to sustainability and dedication to fostering a higher quality-of-life in workspaces.”
Over the past year, numerous brands have invested in large distribution centers, perhaps as a product of lower corporate tax rates and healthier bottom lines. Recently, Kering appointed Cédric Charbit, CEO of Balenciaga, to its executive committee and also updated the animal welfare standards for its luxury brands.