Rapidly Growing Aldi Opens Distribution Center in Alabama

Latest regional HQ designed to serve at least 100 stores across 4 Southern states
Lynn Petrak, Progressive Grocer
Aldi dc ribbon cutting
Aldi Divisional VP Heather Moore cuts the ribbon with her team for the opening of the Loxley, Ala., distribution center and regional HQ. (Image credit: AP)

Aldi is upgrading its presence in the southern part of the United States, unveiling a new regional headquarters and distribution center in Loxley, Ala. Officially opened on Jan. 31, the site will serve up to 100 stores and eight million customers in the Gulf Coast region, company officials said.

Under construction since February 2021 and spanning 564,000 square feet, the new facility includes several sustainability features, such as roof-mounted solar panels, LED lighting, an eco-friendlier refrigeration system and metal panel insulation. “Our Loxley facility was created with innovation and sustainability top-of-mind. In fact, it incorporates some of the most efficient design components that we have implemented in any Aldi facility yet,” Heather Moore, divisional VP for the Loxley region, told Progressive Grocer. In addition, she said, the Aldi distribution center utilizes cross-docking services, which have been implemented to increase the efficiency of warehouse operations.  

[Read more: "Why Aldi Is at the Sweet Spot of Food Retailing"]

The Loxley project is Aldi’s 26th regional headquarters and distribution center, and the sixth in the southern part of the country. Aldi chose to add new capabilities in the area given the retailer’s continued regional growth; the company opened 20 new stores in the past year alone across the Florida Panhandle, Alabama, southern Georgia and Louisiana and plans to add another 13 locations in 2023. For example, crews are breaking ground within the next few weeks for the first Aldi store in Baton Rouge, La.

Aldi Loxley
Aldi's new regional headquarters and distribution center enables its growth across the Gulf Coast region. (Image credit: AM King)

The chain-wide expansion has been fueled by value-seeking shoppers and Aldi’s own ramped-up operations. A recent poll conducted by YouGov showed that Aldi topped the list of popular grocery stores for the fourth quarter of 2022, based on the percentage of respondents who have a positive view of the retailer. The retailer is also expanding in the digital space, recently testing a new e-commerce platform with partner Spryker Systems.

“We know many have felt the pressure of inflation and rising food costs over the past year, and that’s why our mission to provide quality, fresh food to our customers at affordable prices is more important than ever,” added Moore.

According to Aldi, the new Loxley facility has staffed 120 of the 200 open positions and remains in hiring mode.

Batavia, Ill.-based Aldi U.S. has approximately 2,200 stores across 38 states. The company employs 45,000-plus associates and is No. 24 on The PG 100, Progressive Grocer’s 2022 list of the top food and consumables retailers in North America.

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