Discovery Group was retained by Summit Distributing to assist in the determination of the company’s facilities requirements, from all perspectives. Discovery Group helped identify and evaluate new location alternatives (purchase, lease, and development), and then implemented the selected option. Ultimately, this evaluation led to site acquisition, financing, and development of Summit’s new office/distribution facility.
Primary Challenges
Assist Summit with business modeling to better understand current real estate costs
Determine location for new facility as the distribution area had shifted & expanded Westward
Locate a suitable site on a “fast-track” basis, in a limited land supply market
Develop a facility design that incorporated the latest trends in beer distribution facility efficiency
Discovery Strategy
Discovery Group consulted with Summit to understand its business processes, growth projections, & to explore viable buy/build/lease opportunities
Discovery Group modeled various buy/build/lease real estate options to help Summit gain perspective of the choices & their
impact on the company’s balance sheet & income statement
Negotiated with separate land owners & general contractors to give Summit optimal pricing & value
Manage the construction process notwithstanding a tight schedule
Discovery Results
A highly accessible site was acquired in Earth City which would contribute to improved distribution efficiency and increase employee attraction and retention
The site plan was designed to facilitate future expansion in an efficient & cost effective manner
The office & meeting room areas allow for after-hours hospitality while maintaining office security
The project was completed on-time and under budget