Berkshire eSupply Builds $45 Million Fullfilment Center

(BRK.A), (BRK.B)

Berkshire eSupply will build a new $45 million fullfilment center and office facility in Novi, Michigan.

The construction comes at one of Berkshire Hathaway’s newest companies.

In the summer of 2017, Berkshire Hathaway acquired Warren, Michigan-based MRO distributor Production Tool Supply, and created a new wholesale division, Berkshire eSupply.

At the time, the company was ranked 34th on Industrial Distribution’s 2017 Big 50 List.

With more than 1,000 suppliers, the company has more than 1 million industrial/MROP products available online, dispersed from three strategically located distribution centers in Detroit, Los Angeles and Houston.

The 57 acres of currently vacant property will be converted into a 193,230-square-foot warehouse with mezzanines and an 18,380-square-foot office building, along with 359 parking spaces.

The two-level fulfillment center will have 17,000 square feet of office space, 136,000 square feet of warehouse space, 13,650 square feet will be for a distribution center, and shipping/receiving will occupy 21,000 square feet.

The new facility will create as many as 240 new jobs.

© 2018 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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