Vaughan lands new Kuehne and Nagel deal

SPONSORED CONTENT: E-commerce continues to drive new construction in Melbourne’s west

Vaughan lands new Kuehne and Nagel deal
The expected completion date is November 2018


National developer Vaughan Constructions has signed a new deal with global logistics provider Kuehne + Nagel to significantly enhance its $30 million Derrimut facility.

The design & construct contract will deliver an 8,000m2 extension to the 20,000m2 Boundary Road distribution centre, with an expected completion date of November 2018.

According to Vaughan Constructions director, Mark Byrne, the new facility will aid Kuehne + Nagel in delivering goods with optimised speed and accuracy as competition in the integrated and contract (3PL) logistics sector intensifies within the booming online retailing economy.

"The entry into the market by the world’s biggest online players has brought Australia into a new phase of online shopping as consumer expectations rise, driving the need for all players to offer the sort of premium service that has delivered success for the top firms.

"And of course that has impacted our business across the country from Melbourne to Sydney to Darwin and elsewhere, with logistics firms gearing up for the challenge by updating and expanding their operations,’’ Byrne says.

He says Vaughan’s recent building portfolio completions include a string of e-commerce related industrial facilities for leading logistics providers such as Linfox, GMK, K&S Freighters, and Northline, with the recent completion of works on a 6000m2 extension of a GMK Logistics facility in Gregory Hills NSW and Linfox’s $10 million, 3,000m2 North Star intermodal facility at East Arm wharf in Darwin.

Byrne said Kuehne + Nagel’s digitalised platform, which allows customers to track shipments in real time, is one part of an holistic service providing online retailers with a competitive edge.

"Acting as an arm within the retailer’s own business they can offer next day delivery to the consumer’s doorstep whilst reducing, and in some cases eliminating, rental and sales labour costs,’’ he says. According to an IBISWorld report, the transport, postal and warehousing sector is now worth $188 billion annually, employing well over half a million workers, with forecasts of continued growth


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