Truworths and its logistics development partner Atterbury Group will break ground next month for a new distribution centre that will consolidate the clothing retailer’s various interests under one roof at a cost of R900 million.
Situated at the Group’s King Air Industria park in Matroosfontein, the development’s initial phase of 53 000 square meters (sqm) consists of 3 000sqm of office space, and a warehouse of 50 000 squares.
It includes an option to expand its facilities to 70 000 squares.
Initiated in 2019 by Epping Property and developed by Atterbury specifically for Truworths, the distribution centre is expected to be completed by September 2023.
News of the development comes on the back of the retailer reporting a 49.9% increase in annual profit last week.
Its retail sales apparently ballooned to R18.5 billion, a 9% improvement in performance.
Chief financial officer for the retailer, Emanuel Cristaudo, said the group’s bullish results made it possible for Truworths to look at building a larger distribution centre with progressive potential.
“The proximity of King Air Industry and the business park benefits have led us to conclude an agreement with Atterbury who we also feel have a good understanding of our warehousing business needs. This positions us well for the future and we are looking forward to the completion of this project.”
Atterbury development manager Arno du Plessis said the addition of Truworths to the King Air Industria development underpinned its appeal as a spacious facility close to the airport.
Recently the property group also signed a deal with Takealot for a 20 400sqm second-phase development in Richmond, which will take the facility’s total size to 44 000 squares upon completion next June.
