Dive Brief:

• Sprouts Farmers Market has opened a new Southern California distribution center, which will serve 95 Sprouts stores within a 250-mile radius of the center, according to a Wednesday press release. 
• Located in Fullerton, California, the new facility spans 337,000 square feet and includes features that focus on the efficiency and freshness of produce deliveries as well as the grocer’s environmental efforts.
• The opening of the Fullerton site supports Sprouts’ rapid growth across the country as the specialty grocer is nearing its goal of opening 30 new stores in 2023.

Dive Insight:

Sprouts Farmers Market’s newest distribution center aims to both bolster the specialty grocer’s ongoing store expansion and improve its environmental impact and sustainability efforts, according to the announcement. 

The new facility includes two different temperature storage and fruit ripening rooms allowing for “optimal conditions for produce storage,” CEO Jack Sinclair said in a statement. The distribution center will also support and expand around a dozen local farm partnerships Sprouts has with growers, including Cyma Orchid, Five Crowns and HMC Farm.

The Fullerton center’s location saves an estimated 725,000 miles from current delivery routes because of its closer proximity to store locations, leading to a significant decrease in transportation-related emissions, the announcement noted. An electric terminal truck is also on-site to assist with daily yard operations. 

Employees have access to 11 electric vehicle charging stations with the building’s design leaving room for more to be added in the future. The facility also tracks for future solar panel implementation and the Leadership in Energy and Environmental Design (LEED) certification, which is a framework for highly efficient and cost-effective green buildings, per the press release. 

Sprouts noted that the Fullerton distribution center has created more than 190 new full-time jobs and is the grocer’s seventh distribution center. The grocer’s other distribution facilities are located in Aurora, Colorado; Union City, California; Glendale, Arizona; Orlando, Florida; Wilmer, Texas; and East Point, Georgia.

The specialty grocer is on track to open 30 new stores this year, most of which are based on Sprouts’ newer small-format store model. In its most recent earnings call hosted in September, the grocer said it aims to open 40 new locations in 2024.