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Lidl invests $380 million in its world's most giant warehouse

The nearly $380 million warehouse comes in the fast-growing UK market.
German grocery giant Ladl has opened its largest distribution center in the world. The nearly $380 million warehouse comes in the fast-growing UK market, where the retailer is increasing the number of customers.

Lidl Depositphotos

The complex has a total area of 1.2 million square feet and is about half a kilometer long. The distribution center is almost three times the size of Lidl's standard space. It is reported that with the launch of the new center, Lidl will deliver more than 9,400 pallets to UK stores. The new warehouse will serve 150 stores. In comparison, other DCs operate fr om 60-80 retailers.

The warehouse will create up to 1,500 jobs, almost three times more than any other Lidl GB warehouse. The company also said that employees can work with hourly wage increases and receive a 10% discount at the retailer's stores.

This will be Lidl GB's first warehouse equipped with an automation system, allowing more goods to be stored and increasing the distribution center's capacity. The distribution center is also environmentally friendly - its solar panels will generate 2,000,000 kWh of electricity annually. The center's vehicle fleet will be converted entirely to biogas in 2030.

Lidl GB chief development officer Richard Taylor said: "The opening of this new RDC in Luton is a seminal moment for Lidl GB. Demand for Lidl has never been higher, and we are seeing an increasing number of people walk through our doors to make savings on every shop.

"The fact that Lidl's largest RDC in the world is here in Great Britain speaks for itself not only in terms of us needing to meet the growing customer demand, but also in terms of our ambition to grow that demand in the future. It is a spectacular state-of-the-art site that our team has worked incredibly hard on to get to wh ere we are today."

Chancellor of the Exchequer Jeremy Hunt said, "It's fantastic to see Lidl investing in the UK and creating thousands more well-paid jobs. As our plan to halve inflation this year and grow the economy bears fruit, businesses can be confident that investing in the UK is the right decision."

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