AutoZone breaks ground on $185M distribution center in New Kent

auto1 scaled

AutoZone President, CEO and Chairman Bill Rhodes speaks during a ground breaking ceremony for AutoZone’s upcoming distribution and warehouse facility in New Kent. (Jack Jacobs photos)

AutoZone is revving up construction on its upcoming distribution center in New Kent.

The national auto parts retailer and distributor held a groundbreaking ceremony Thursday for its planned 800,000-square-foot facility in the western part of the county.

“This is going to be the largest distribution center in our network,” Bill Rhodes, AutoZone’s president, CEO and chairman, said during the event.

Construction on the $185.2 million facility is expected to begin next month ahead of a targeted completion in 2025. The distribution center is expected to employ around 350 people.

AutoZone is the first company to break ground at New Kent City Center, a 1,600-acre industrial park located just south of I-64, near its interchange with Route 106.

New Kent Economic Development Director Matt Smolnik said AutoZone is a strong start for the park, and the company’s arrival has fueled interest from others looking to set up shop there. He said the acreage was rezoned more than a decade ago to set the stage for industrial development.

“We’re getting ready to bust wide open. You have a Fortune 500 company as your anchor tenant and trust me, since this announcement my phone has been off the hook with inquiries,” he said.

Smolnik said that New Kent started its conversations with AutoZone in January 2021. He said that as part of its pitch, New Kent presented itself as the kind of place that would be a good fit for the company’s culture.

“We had to think outside the box on this one. We knew the company loved community and that’s what we were told from day one. I think that’s one of our strengths in New Kent,” Smolnik said.

“We’re small but there’s something special about us and those are our strengths and what we put forth.”

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Gov. Glenn Youngkin, center, and other officials participate in the ground breaking ceremony for AutoZone’s 800,000-square-foot facility in New Kent.

AutoZone paid $5.2 million to acquire its 141-acre site in June, according to New Kent Commissioner of the Revenue Laura Ecimovic. That figure included $1.2 million provided by New Kent to help cover land acquisition costs as part of a $9.2 million local incentives package, Smolnik said.

He said New Kent chose to step in and close the gap between what AutoZone was willing to pay for its site and what the seller, SPF Investments, was willing to accept as payment. SPF Investments, a Richmond-based entity tied to Fred Shaia, owns most of the land in the park.

The deal wasn’t yet reflected in the county’s online property records Thursday. The site was carved out of a 445-acre parcel most recently assessed at $6.5 million.

AutoZone plans to fill out the ranks of the New Kent facility’s team within a three-year period. Company officials said the facility’s employees will almost entirely be new hires, though some existing management-level employees could be relocated to the New Kent facility.

The warehouse will employ workers in roles like forklift drivers, stockers and truck drivers among others. The facility is also expected to have about 30 management-level employees.

AutoZone didn’t respond to a follow-up inquiry about who the facility’s architect and general contractor is, or what the median salary of the facility’s employees will be.

Rhodes and other speakers delivered their remarks from a podium set between two AutoZone semi-trailers emblazoned with the American flag. A small group of red-shirted AutoZoners, the company’s moniker for its employees, provided a hearty rendition of the company cheer at the event.

Gov. Glenn Youngkin, U.S. Rep. Rob Wittman, Virginia Senate Minority Leader Tommy Norment and Del. Scott Wyatt were among those who addressed the crowd during the ceremony.

The project was announced by Youngkin’s office in February. Former Gov. Ralph Northam OK’d a $2.5 million grant via the Commonwealth’s Opportunity Fund to help New Kent secure the project.

auto1 scaled

AutoZone President, CEO and Chairman Bill Rhodes speaks during a ground breaking ceremony for AutoZone’s upcoming distribution and warehouse facility in New Kent. (Jack Jacobs photos)

AutoZone is revving up construction on its upcoming distribution center in New Kent.

The national auto parts retailer and distributor held a groundbreaking ceremony Thursday for its planned 800,000-square-foot facility in the western part of the county.

“This is going to be the largest distribution center in our network,” Bill Rhodes, AutoZone’s president, CEO and chairman, said during the event.

Construction on the $185.2 million facility is expected to begin next month ahead of a targeted completion in 2025. The distribution center is expected to employ around 350 people.

AutoZone is the first company to break ground at New Kent City Center, a 1,600-acre industrial park located just south of I-64, near its interchange with Route 106.

New Kent Economic Development Director Matt Smolnik said AutoZone is a strong start for the park, and the company’s arrival has fueled interest from others looking to set up shop there. He said the acreage was rezoned more than a decade ago to set the stage for industrial development.

“We’re getting ready to bust wide open. You have a Fortune 500 company as your anchor tenant and trust me, since this announcement my phone has been off the hook with inquiries,” he said.

Smolnik said that New Kent started its conversations with AutoZone in January 2021. He said that as part of its pitch, New Kent presented itself as the kind of place that would be a good fit for the company’s culture.

“We had to think outside the box on this one. We knew the company loved community and that’s what we were told from day one. I think that’s one of our strengths in New Kent,” Smolnik said.

“We’re small but there’s something special about us and those are our strengths and what we put forth.”

auto2 scaled

Gov. Glenn Youngkin, center, and other officials participate in the ground breaking ceremony for AutoZone’s 800,000-square-foot facility in New Kent.

AutoZone paid $5.2 million to acquire its 141-acre site in June, according to New Kent Commissioner of the Revenue Laura Ecimovic. That figure included $1.2 million provided by New Kent to help cover land acquisition costs as part of a $9.2 million local incentives package, Smolnik said.

He said New Kent chose to step in and close the gap between what AutoZone was willing to pay for its site and what the seller, SPF Investments, was willing to accept as payment. SPF Investments, a Richmond-based entity tied to Fred Shaia, owns most of the land in the park.

The deal wasn’t yet reflected in the county’s online property records Thursday. The site was carved out of a 445-acre parcel most recently assessed at $6.5 million.

AutoZone plans to fill out the ranks of the New Kent facility’s team within a three-year period. Company officials said the facility’s employees will almost entirely be new hires, though some existing management-level employees could be relocated to the New Kent facility.

The warehouse will employ workers in roles like forklift drivers, stockers and truck drivers among others. The facility is also expected to have about 30 management-level employees.

AutoZone didn’t respond to a follow-up inquiry about who the facility’s architect and general contractor is, or what the median salary of the facility’s employees will be.

Rhodes and other speakers delivered their remarks from a podium set between two AutoZone semi-trailers emblazoned with the American flag. A small group of red-shirted AutoZoners, the company’s moniker for its employees, provided a hearty rendition of the company cheer at the event.

Gov. Glenn Youngkin, U.S. Rep. Rob Wittman, Virginia Senate Minority Leader Tommy Norment and Del. Scott Wyatt were among those who addressed the crowd during the ceremony.

The project was announced by Youngkin’s office in February. Former Gov. Ralph Northam OK’d a $2.5 million grant via the Commonwealth’s Opportunity Fund to help New Kent secure the project.

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Bruce Milam
Bruce Milam
1 year ago

New Kent has been hoping to capitalize on its I-64 interchanges for years. This is great news for them. Now let’s get that interstate’s last 29 miles to I-295 widened to 8 lanes so that we can end the routine bottlenecks to Williamsburg.

Dr. Abe C. Gomez
Dr. Abe C. Gomez
1 year ago

The project has been postponed due to “redesign issues” brought up by New Kent County. Construction will start later in the fall