A new $200 million state‑of‑the‑art distribution facility is to be established by multinational manufacturer Techtronic Industries (TTI) at Australia’s first industrial community The YARDS, in Kemps Creek, Western Sydney.
What is TTI
TTI is a fast-growing world leader in power tools, accessories, hand tools, outdoor power equipment and floor care products, with worldwide brands such as Milwaukee, Ryobi, AEG and Hoover. The company will consolidate its two existing facilities in NSW into one 73,920 square metre premium distribution centre at the strategically located industrial precinct.
“We are continuing to expand rapidly and need a new facility to support our future growth. By consolidating our existing sites into this new state-of-the-art distribution centre, we will be able to meet our future needs, while optimising our supply chain to the benefit of our retail partners and end users of our products,” said Grant Edhouse, Chief Financial Officer and Chief Operating Officer of TTI.
Key Features at TTI’s Distribution
Key features at TTI’s new distribution facility will include a goods-to-person automated mini shuttle system, Very Narrow Aisle (VNA) racking storage, drive-around truck access and market leading sustainability measures. The facility is targeting a Green Building Council of Australia 6-Star Green Star rating.
TMX secured the 10-year lease term for TTI after undertaking an operational review of TTI’s existing operations, designing the future facility and procuring the property solution and internal fit out. TMX will now project manage the delivery of the new purpose-built solution through to operational go-live.
Jack Moroney, Director of TM Insight who negotiated the transaction says, “Our supply chain team undertook a comprehensive review of TTI’s operations to establish a robust business case and designed a flexible supply chain solution that supported TTI’s future growth while optimising their current business performance. We were able to go to market with certainty that all of TTI’s bespoke needs were included within the base building definition. This will ensure TTI can adapt their new warehouse to meet any changes their business is faced with.”
The YARDS is a new $1 billion premium industrial precinct under development that is set to become a new benchmark in Australian industrial development, and cement the region as a key distribution hub.
In total, The YARDS will accommodate around 400,000 square metres of next-generation sustainable warehouse and logistics facilities, in addition to onsite amenity for workers and the community. It’s expected to generate over 3,500 jobs during construction and after completion.
TTI’s site at The YARDS is expected to be operational in July 2022. Development of the precinct is being undertaken by Frasers Property Industrial, Aware Super and Altis Property Partners, with construction having commenced in April 2021.