Skip to main content

Massive Wal-Mart distribution center arriving in Target territory

  • Author:
  • Updated:
    Original:

Wal-Mart is moving ahead with its first Minnesota distribution center, breaking ground on the massive $75 million project on a 150-acre site in Mankato.

The Mankato Free Press reports that construction of the facility on the city's northeast side is expected to take one year. The 454,000 square foot center, which will includes an on-site truck maintenance facility, will supply refrigerated and frozen grocery products to Wal-Mart stores in the upper Midwest. Wal-Mart plans to add a dry good distribution center to the site in the future.

The newspaper said at least 300 jobs will be created at the Mankato facility; KEYC reported there could be as many as 500 permanent new positions.

The Business Journal talked to analysts who said that with the Minnesota distribution center, Wal-Mart is putting a veritable target on the region where its chief rival is headquartered. The story said the center will allow the Arkansas-based retail giant to "...build up its store count in the Twin Cities, home of Minneapolis-based Target."

"That's going to put increased pressure on their arch-enemy, which is Target," Dave Brennan of the Institute for Retailing Excellence at the University of St. Thomas, told the Journal.

While Brennan added that "...local loyalty to Target may prevent" Wal-Mart's regional success, he sees the new Mankato distribution center making Wal-Mart more efficient. Currently Wal-Mart's regional distribution center that serves the metro is in Tomah, Wisconsin, which twice as far as the Mankato site.

Wal-Mart currently has 82 Minnesota stores if the company's 13 Sam's Clubs are included in the total. Target operates 75 Minnesota stores.

Wal-Mart purchased the Mankato site in 2005 and originally planned to open the distribution center by 2008. The project stalled and was scaled back during the recession. Wal-MartNewsNow, a site devoted to news and information for Wal-Mart suppliers, has followed the retailer's shifting plans for development.

Next Up

Screen Shot 2022-09-28 at 3.36.57 PM

Scott County attorney candidates differ on marijuana possession

Scott County is one of a few Minnesota counties where the incumbent prosecutor is facing a challenger in November.

Screen Shot 2022-09-23 at 10.21.38 PM

Teen charged in shooting outside of Richfield football game

Due to the age of the suspect, the case won't be made public.

Screen Shot 2020-02-06 at 9.05.08 AM

Twin Cities Summer Jam no more: popular festival brought to an end

The festival noted how the land they host camping on has recently been sold.

image

Expect major traffic delays on Renaissance Festival's final weekend

Scott County officials said road closures will be to blame.

Voting survey vote election

Ramsey County sends out ballots with deceased candidate on it

The county said it's addressing the issue with the Minnesota Supreme Court.

Screen Shot 2022-09-28 at 12.30.28 PM

New haunted house experience coming to Inver Grove Heights

The exhibit will feature family-friendly and 18+ events.

Wayzata High School

Niche rankings identify best Minnesota schools, districts

Eden Prairie has schools ranked in both the private and public categories.

unnamed

Walker, The Current announce end of Rock the Garden festival

The Walker Art Center and Minnesota Public Radio announced the festival will retire so the organizations can dream up new events.

Related