U.S. Foodservice, which provides food and related products to neighborhood restaurants, educational establishments, hospitals, hotels, government entities and other eating establishments are one step closer to finalizing a construction deal for its new distribution center in Buda. The company which initially looked at two locations in Hays County chose Buda in early May. Currently in the due diligence phase of the contract with the Buda Area Chamber of Commerce, U.S. Foodservice hope to begin construction by February 2009.
Head of Economic Development, Buda Area Chamber of Commerce, Warren Kettemann said the process takes time but hopes a deal will be made by January. “No exact dates, we’re in the process of securing the land at this time. We’re working with issues with the property owner. But we should close by January,” said Kettleman. “Needed improvement on roadways County Road 118 and Turnersville Road to support the company’s truck fleets is currently being discussed.”
The new facility, which will replace its Austin location, will be located at the northwest corner of the Sunfield Municipal Utility District. The reason for relocation is due to 114-percent capacity and inability to expand.
“The Austin center is landlocked and there is no room for expansion— presently well over 100 percent maxed of facility,” said Kettlemann. The 40-acre property would accommodate the company’s growth. “The current facility is at capacity and is not built for expansion. The Buda location fits well into our geographical service footprint,” said Kim Brown, Vice President of Communications and Corporate Responsibility for U.S. Foodservice.
Plans indicate hiring close to 245 employees initially, with an expansion of having over 400 employees within five years. Kettleman said some jobs would be available, but that many employees would be relocated and transferred from Austin. “I’m sure a vast majority of transfers will move to the Buda/Kyle area, but there’ll be new hires within the next 2-3 years.”
President of U.S Foodservice-Austin John Fowler said that the company looks forward to moving to the new location in early 2010 and being a valuable business partner with the Buda and Hays County communities.
U.S. Foodservice has over 70 locations nationwide with four broad line facilities in Texas.
by Ashley Cass