{"id":8732,"date":"2025-12-31T13:57:48","date_gmt":"2025-12-31T18:57:48","guid":{"rendered":"https:\/\/distributionstrategy.com\/?p=8732"},"modified":"2026-09-11T10:45:48","modified_gmt":"2026-09-11T14:45:48","slug":"wholesale-distributors-expand-logistics-footprint-in-q4","status":"publish","type":"post","link":"https:\/\/distributionstrategy.com\/2025\/12\/wholesale-distributors-expand-logistics-footprint-in-q4\/","title":{"rendered":"Wholesale Distributors Expand Logistics Footprint in Q4"},"content":{"rendered":"<p>Wholesale distributors across the U.S. continued to invest in logistics infrastructure in the fourth quarter of 2025, opening or scaling distribution centers as they seek faster delivery, greater automation, and improved regional coverage amid evolving customer expectations.<\/p>\n<p>Industry tracking shows that at least two major distribution centers opened in late 2025, with additional facilities under construction or set to enter service in early 2026. These developments reflect broader expansion trends that have characterized the sector throughout the year.<\/p>\n<h2>UNFI Opens Automated Florida Hub<\/h2>\n<p>United Natural Foods Inc. (UNFI), one of the nation\u2019s largest food-wholesale distributors, formally opened its new Sarasota North Distribution Center in Florida in September, with operations advancing into Q4. The 1-million-square-foot facility near Sarasota-Bradenton International Airport is among the company\u2019s most technologically advanced hubs, combining artificial intelligence-enabled robotics with employee-focused amenities.<\/p>\n<p>The facility is the first in UNFI\u2019s network to deploy Pick-it-Easy robots from warehouse technology provider KNAPP, designed to improve order accuracy and throughput by using machine vision and automated goods-to-person systems. It also includes a gym, game and recreation areas, spacious break rooms with floor-to-ceiling windows and a dedicated driver\u2019s lounge.<\/p>\n<p>The center employs more than 400 workers and marks a notable expansion for UNFI\u2019s supply chain footprint as the company continues its multi-year transformation agenda to increase efficiency and improve service levels.<\/p>\n<h2>QED\u2019s Largest Distribution Hub Debuts in Colorado<\/h2>\n<p>QED, a Sonepar company, opened the largest distribution center in its network on Nov. 6 in Aurora, Colorado, marking a significant expansion of its centralized logistics strategy. The 250,000-square-foot facility is the biggest in the company\u2019s history.<\/p>\n<p>The new center supports QED\u2019s move to a centralized logistics model aimed at improving inventory consolidation, order accuracy and overall operational efficiency, the company said.<\/p>\n<p>The site incorporates light automation, including Locus Robotics picking systems, to support scalable fulfillment and maintain service levels during periods of high demand, according to QED.<\/p>\n<p>QED employs 110 associates on-site and it has reported that the opening has generated more than 60 new jobs in the Denver metropolitan area.<\/p>\n<h2>Industry-Wide Logistics Buildout in 2025<\/h2>\n<p>While not all openings occurred strictly within the fourth quarter, 2025 saw a broader surge in wholesale distribution center activity. Industry analysts reported at least seven major new distribution centers that opened this year, spanning food, healthcare, industrial and building materials sectors. Projects ranged from 183,000 square feet to more than 1 million square feet.<\/p>\n<p>Among the noted facilities were openings by KeHE in Elkton, Maryland; Cardinal Health in Fort Worth, Texas; and White Cap in Perris, California, underscoring a decade-high pace of logistics investment across wholesale markets.<\/p>\n<h2>Outlook for 2026 and Beyond<\/h2>\n<p>Executives and supply chain experts say the pace of logistics expansion reflects more than just capacity needs. Automation, data-driven fulfillment, and closer proximity to customers are increasingly strategic priorities as distributors grapple with competitive pressures and tightening delivery windows.<\/p>\n<p>\u201cThe trend toward automation and regional fulfillment hubs isn\u2019t slowing,\u201d said one supply-chain analyst. \u201cDistributors that invest in smart, scalable infrastructure now are positioning themselves to capture growth and meet customer expectations in an era defined by speed and accuracy.\u201d<\/p>\n<p>As these logistics networks come fully online in early 2026, they are likely to reshape how wholesale distributors balance service, cost, and competitiveness in a rapidly evolving supply chain landscape.<\/p>\n<p><a href=\"https:\/\/distributionstrategy.com\/subscribe\/\">Do not miss any content from Distribution Strategy Group. Join our list.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Industry tracking shows that at least two major distribution centers opened in late 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