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Kroger to create hundreds of new jobs in Frederick with robotic fulfillment center

Posted at 11:18 AM, Jan 23, 2020
and last updated 2020-01-23 11:26:22-05

FREDERICK, Md. (WMAR) — The country's largest grocery retailer has announced plans to open a Robotic Customer Fulfillment Center in Frederick County that could create up to 500 new jobs.

Ocado and the Kroger Company are teaming up on the 350,000 square-foot project that will expand a preexisting distribution facility at 7106 Geoffrey Way.

The online retail fulfillment site will serve households across Maryland, Pennsylvania and the D.C.

At the facility, robots will move along the top of a grid system, selecting grocery filled crates that are later sorted and assembled into delivery orders.

“We are thrilled that these two respected companies have chosen Maryland as the location for a new high-tech, innovative Mid-Atlantic hub,” said Governor Larry Hogan. “This is a big win for Frederick County and yet another shining example that Maryland truly is open for business.”

Kroger has been around for more than 130 years and currently operates nearly 2,800 stores in 35 states, including the chains Fred Meyer, Metro Market, Ralphs, and Pick’n Save, among others, with annual sales exceeding $120 billion.

The Maryland Department of Commerce has approved a $2 million conditional loan through Advantage Maryland, to assist with project costs. Frederick County has also agreed to provide up to $150,000 in permit fees.

Over the next decade, the project will be eligible for an estimated $5 million in county commercial and industrial tax credits along with local workforce services and state tax credits, including Maryland’s Job Creation Tax Credit.

There's no estimated time of completion.