LONGUEUIL, Quebec—Jean Coutu Group Inc says it will spend nearly $190 million to build a new, larger headquarters and distribution centre in Varennes, Quebec.
The Quebec-based pharmacy retailer says construction will begin next year and operations will begin to be transferred in 2016.
Hélène Bisson vice-president of communications for Jean Coutu said moving to a new location will mean the company will be able to consolidate some of its warehousing operations. Currently Jean Coutu is operating two separate DCs in Longueuil, but after construction is completed “everything will be all in one site under one roof”.
She said at this point, the retailer is only in the initial phase of the project and doesn’t have any formal plans yet regarding the design of the distribution centre. But Bisson added that most of the new facility’s 74,322sqm (800,000sqf) will be earmarked for DC operations.
The building site consists of 28 hectares (three million square feet) located near Autoroute 30 in Varennes, on the south shore of Montreal.
According to the company, the current space can no longer support the needs of the Jean Coutu’s growing network.
“In a context of continued growth, it became essential for us to expand our facilities, which was impossible on the site we presently occupy because of the lack of space,” said Jean Coutu Group president and CEO François Coutu.
“The facilities in Varennes will be at the cutting edge of technology, guarantying high standards of productivity and enhanced performance.”
The company expects all 1,023 employees currently working in Longueuil to transfer to the new facility.
Jean Coutu Group has been in its current locations in Longueuil’s industrial park since 1976. It also operates a DC in Hawkesbury, Ontario.
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