BUILD-TO-SUIT DISTRIBUTION CENTERCASE STUDY

FAST FACTS

COMPANY Walmart

INDUSTRY Retail

LOCATION Beichen, Tianjin, China

TOTAL SIZE 43,000 sq m (462,848 sq ft) Cross-docking distribution centre

PROJECT TIMELINE 40 weeks (excluding fit-out)

PALLET CAPACITY 29,200 (wide aisle) 39,000 (narrow aisle)

TENURE Freehold

BEICHEN, NORTHERN CHINA

This 43,000 sq m (462,848 sq ft) distribution centre in Tianjin for Walmart is located in the Beichen District of Tianjin City, employing nearly 300 local residents. Featuring an array of sustainable measures, the development is not only environmentally friendly, but significantly reduces the operational costs for the global retailer.

Some of the biggest challenges involved in this project were the strict requirements presented by Walmart’s international standards. The new facility needed to be larger than 10,000 sq m (107,639 sq ft) but at the time cells of 3,000 sq m (32,292 sq ft) were the norm in the Tianjin area which was not sufficient and too restrictive for Walmart operations.

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“Wal-Mart strives for ‘saving people money so they can live better’, and the completion of the new Wal-Mart Tianjin Distribution Centre can help us to better achieve the goal.”

Antonio Lee - Senior Director, Supply Chain, Walmart China

Consequently Walmart requested the cells to be enlarged (6,000 sq m (64,584 sq ft)). Creating a facility of this magnitude was unprecedented locally and obtaining permission to build a cross docking facility of this scale was a key challenge facing the project.

Brookfield ensured the customer was kept fully updated of every detail throughout the project, making sure their exact needs were always followed and front of mind. Understanding their customer’s needs and expectations helped Brookfield arrange their construction schedule precisely, effectively eliminating the possibility of a prolonged delivery.

To control the quality of this project, Brookfield also monitored and co-operated closely with their local partners throughout the process of construction.

To solve the problem of gaining permission for larger cells, Brookfield’s team in China conducted a great deal of research on local regulations as well as international cases relating to similar projects in scale, and put together a series of authoritative studies of the facility’s proposed design by local university professors and architects.

This helped to ensure the project received permission and positive feedback. To obtain permission to build a cross docking facility of this magnitude with more than 140 dock levellers, Brookfield had to use advanced automated fire control sprinkler systems and fire resistive materials.

Not only did Tianjin fulfill the strong sustainability goals set originally by Brookfield and Walmart, but it also brought about large savings in operation costs for the retailer, leading to lower product prices for Walmart’s customers.

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