SALT LAKE CITY-O’Reilly Automotive Inc. has acquired 210,000-square-foot warehouse here that is being built-to-suit, according to the Buzz Oates Group of Companies, which is developing the property. The Springfield, MO-based publicly traded retailer of auto parts and accessories reportedly paid $12.5 million for the property, local industry sources tell GlobeSt.com.
The warehouse is under construction at 6230 W. 700 S. With mezzanine space that is being added, the building will have 294,000 square feet of operating space. The facility will employ roughly 450 people.
Steve Condie and Mike Falk of NAI Utah Commercial Real Estate represented BOGC in the transaction. Tim Simonsen of Coldwell Banker Commercial represented O’Reilly. Brad Baird managed the project for the Economic Development Corp. of Utah.
O’Reilly Automotive sells to commercial businesses and consumers through approximately 3,400 stores nationwide under the brand names Checker Auto Parts, Schuck’s Auto Supply, Kragen Auto Parts and Murray’s Discount Auto Stores. Last year, the company acquired CSK Auto Corp., which had 1,342 stores in 22 states operating under four brand names: Checker Auto Parts, Schuck’s Auto Supply, Kragen Auto Parts and Murray’s Discount Auto Parts. As of late September, the Company had converted 264 CSK branded stores to O’Reilly systems, merged 41 CSK stores with existing O’Reilly locations, closed 10 CSK stores and opened five new CSK branded stores.
The company has been adjusting its distribution network as a result of the acquisition. On its third quarter conference call, company executives said that after the addition of our four new distribution centers in the West next year, it will operate from 23 locations providing nightly service to its stores in 38 states. "Based on our distribution capacity, we are in good shape to continue expanding into new market throughout the states we currently operate in," one executive said.
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