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Federated Consolidating Distribution Ops

CINCINNATI-Disposition plans for the three facilities, comprising 212,000 sf in Warren, MI; 550,000 in Minneapolis; and 142,000 sf in Kansas City, KS are still being finalized.

By Danielle Anderson | Updated on November 17, 2006

(To read more on the industrial market, click here.)

CINCINNATI-Federated Department Stores Inc. plans to close three Midwest distribution centers early next year in an effort designed to streamline operations and reduce redundancies introduced with the 2005 acquisition of the May Department Store Co. The three facilities, totaling 904,000-sf and employing 296, are located in Kansas City, KS; Warren, MI; and Minneapolis. On Nov. 16, Federated announced that the month-long process to phase out operations at the three facilities would begin Feb. 4, 2007.

Disposition plans for the three facilities, which were part of the May acquisition, have not been finalized, a company spokesperson tells GlobeSt.com. Two of the properties–a 212,000-sf facility in Warren, MI and a 550,000-sf facility in Minneapolis–are owned by Federated. The company leases the 142,000-sf distribution center in Kansas City, KS. All three facilities are currently operated by the Federated Logistics division. Other distribution centers in the region, including facilities in St. Louis; Chicago; Bridgeton, MO; and North Jackson, OH, will absorb the volume handled by the centers as they are phased out, says the company.

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