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Kroger, Ocado to build 5th US fulfillment center

Kroger Co. and U.K. online grocer Ocado Group PLC selected Dallas to be the location of their fifth customer fulfillment center in the U.S., according to a Sept. 12 release.

The companies are scheduled to begin construction on the 350,000-square-foot facility in early 2020 and start operations after 24 months. It is expected to create up to 400 new positions, the Ohio-based retailer added.

Kroger entered into a partnership with Ocado in May 2018 to use the latter's technology for food distribution activities.

Under the tie-up, the companies will identify up to 20 sites on which to develop automated warehouse facilities over the first three years of the agreement. They have since begun construction on two fulfillment centers, one in Groveland, Fla., and another in Monroe, Ohio.