Grainger Nearly Doubles Chicago-Area DC Space with Facility Purchase - Modern Distribution Management

Grainger Nearly Doubles Chicago-Area DC Space with Facility Purchase

The distributor bought a massive facility adjacent to its current Minooka, IL distribution center, further expanding its warehouse footprint.
Grainger Facility

MRO supplies distributor Grainger is set to significantly expand its warehousing operations in its home of Chicagoland.

Local news reports earlier on Dec. 27 detail that Grainger — No. 1 on MDM’s Top Industrial Supplies Distributors List — has purchased an 849,691-square-foot facility in Minooka, IL, adjacent to the company’s 1-million-square-foot distribution center there.

Grainger reportedly paid $78 million for the vacant facility, which most recently was an IKEA location. It was purchased from industrial landlord Prologis.

In the MDM Store: MDM’s 2024 U.S. MRO Market Trends Report

Minooka Village Administrator Dan Duffy told WSCJ News that the village worked with Grainger to create an incentive package for the company, which is expecting to add 40 to 50 jobs to operate the facility that may be used for bulk storage.

“They’ll have to invest heavily into that building because it’s actually about 20-22 years old. But at the end of the day, we’re happy that they’re reinvesting in Minooka, doubling their size (here) and bringing in more employees.”

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WCSJ cited Grainger noting that building renovations are expected to exceed $33 million for property improvements, material/handling equipment and other installations, with the company hoping to complete that activity by the end of 2026.

Grainger’s other Minooka facility opened in 2013 as its central stocking distribution center and employed nearly 700 staff as of early 2019.

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This past Oct. 1, Grainger broke ground on a 1.2 million-square-foot DC outside of Houston that the company intends to open in 2026. And Grainger started 2024 with opening new headquarters offices for its Zoro marketplace in downtown Chicago in January. Those moves further expanded the company’s physical footprint, which we shared extensive detail about in this August 2023 Premium article.

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