After years of trying to complete a land-sale to enable expansion of the Home Hardware Eastern distribution centre in Debert, the way has now been cleared to proceed.
“A long time coming,” said centre manager Harvey Gullon, of the recently signed land deals associated with the project.
“As frustrating as it was, we had to follow the process.”
Just prior to Christmas, the company signed off on a neighbouring land-purchase agreement through the Colchester Regional Development Association with the County of Colchester. And on Friday, a deal was signed with CN Rail for the purchase of a nearby spur line that rests on land also required for the expansion.
When complete, the expansion will see the 32,400-square metre (360,000 square feet) centre grow by another 18,000 square metres (200,000 square feet.).
The move will see a considerable increase in the centre’s shipping capacity by adding additional doors.
“So it’s increasing our shipping capacity. It’s also giving us cross docking, which we’ve never had before,” Gullon said.
That means that as some trucks are unloaded, the contents can be tagged and loaded straight onto another truck for their final destination, instead of storing the goods and shipping them out at a later date.
“So that is going to speed up our production quite a bit.”
The completed expansion will mean a new material management system that has been on hold can also finally proceed, Gullon said.
“Like, right now when we have a container leaving China, we don’t know what is on it (or), when it’s gong to get here until it lands at our door,” he said. “With this new system we’ll be able to track it and know what is on it (from the time it leaves).”
The centre currently employs about 240 people, a number that Gullon expects could increase somewhat, when the expansion is fully in place.
“As business increases it is going to help employment,” he said.
The 18 acres required for the expansion is on former
Debert army camp land that is owned by the municipality. Gullan initially began efforts to purchase the property in 2005, but was stalled because of concerns about the possibility of archaeological and historical remains at the site.
In 2008, the site was protected from development by a provincial act designed to provide for the preservation, regulation and study of any historical remains or artifacts.
Over the past several years, the Municipality of Colchester has spent hundreds of thousands of dollars undertaking a full archaeological study, which essentially prompted no results.
All that Home Hardware officials could do in the meantime, was sit back and wait for the study to be completed.
“It’s created a problem internally,” Gullon said. “We need the space, yes. And badly need the space. We had to reduce our inventory and slow down a little bit in what we were doing.”
The green light has now been granted for the company to proceed with the necessary building permits and construction is planned to begin March 1. Completion is expected for May, 2014.
