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Saks to Open Distribution Center in Tennessee

Saks Fifth Avenue is opening a distribution center in La Vergne, TN, the Tennessean reports.

The state has agreed to give the upscale retailer job-training and infrastructure grants equal to $3,000 for each of the 250 employees expected to work there at peak capacity, a Saks spokeswoman said. Rutherford County also is abating Saks’ personal property taxes for seven years. The 564,000-square-foot facility at One Waldenbooks Drive is expected to open by August, with hiring expected to begin in April.

“Middle Tennessee is a great fit for our new facility and was selected for its central location, attractive real estate and operating costs, and very capable workforce,” said Steve Sadove, Saks’ chairman and chief executive officer.

The retailer considered expanding its existing facility in Aberdeen, Md., and searched for other potential sites in Maryland and other states before picking La Vergne, Bentley said.

The Tennessee distribution center is owned in a joint venture by DCT Industrial Trust, a real estate company that owns 78 million square feet of light industrial/distribution space in the United States and in Mexico. Saks also will install an automated warehouse fulfillment system in the La Vergne facility that will use robotics to retrieve merchandise and file orders.

Saks Inc. operates 46 Saks Fifth Avenue stores (including its flagship in New York City) and 60 Saks Fifth Avenue OFF 5TH stores.

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