Home » Sazerac Co. investing more than $70 million in Kentucky

Sazerac Co. investing more than $70 million in Kentucky

Money will be used to improve bottling, distribution and barrel warehouse storage capacity

LOUISVILLE, Ky. (April 17, 2014) — The Sazerac Co., one of the largest family-owned distilling companies in the United States, is investing nearly $71 million in Kentucky at its three distilleries; the Buffalo Trace Distillery in Franklin County, The Glenmore Distillery in Owensboro, and the Barton 1792 Distillery in Bardstown.

The money will be used to improve bottling, distribution and barrel warehouse storage capacity. Along with Sazerac’s commitment to invest almost $71 million, the Kentucky Economic Development Finance Authority (KEDFA) has given preliminary approval for tax incentives totaling approximately $7.4 million between the three Sazerac sites.

Buffalo Trace Distillery rendering by Gray Constructoin
Buffalo Trace Distillery rendering by Gray Constructoin

At Buffalo Trace Distillery, the 228-year-old Distillery will gain a new 83,000-s.f. warehouse center that will have a state-of-the-art Automated Storage and Retrieval System (AS/RS).  The new portion of the warehouse will be connected to the existing distribution center.  Planning calls for 40 new full-time jobs to be added over the next two to three years as a result of bourbon’s demand on this facility. The company is investing additional funds in the project to ensure that the new building is in keeping with the Distillery’s current look and feel from an architectural standpoint, thereby enhancing its status as a National Historic Landmark.

At The Glenmore Distillery, a new 223,000-s.f. distribution center complete with an AS/RS also will be installed. Additional equipment will also be purchased and improvements will be made to existing barrel warehouses. As a result of investments to expand capacity to accommodate anticipated growth, 20 new full-time jobs are expected to be added over the next two to three years.

At the Barton 1792 Distillery, equipment will be purchased to increase production capacity and 50 new full-time jobs are anticipated being added over the next two to three years.

Gray Construction, a design-build contractor, is responsible for the design and construction of the highly automated distribution centers at both Buffalo Trace and The Glenmore Distillery. The AS/RSs, which are being installed by Westfalia Technologies, Inc., use satellite technology to store pallets in multiple deep storage lanes.  The Sazerac Co. is the first spirits supplier in the United States to use AS/RS technology.

The Glenmore Distillery rendering by Gray Construction
The Glenmore Distillery rendering by Gray Construction

“To see not one, not two, but three iconic distilleries expand their operations shows the world’s taste for bourbon is soaring,” said Gov. Steve Beshear. “Bourbon remains a signature industry in Kentucky, and these expansions will continue to grow this legacy. I want to congratulate Sazerac on its investment and the addition of more than 100 new jobs throughout the commonwealth.”

“We are very proud we are able to continue to invest in Kentucky through its people and its infrastructure,” said Mark Brown, president and chief executive officer of Sazerac Co. “By the time all of our projects are finished at our three facilities, we’ll have well over 1,200 employees in the state, and we’re excited about the possibility of growing even more.”

“To be involved in a project that boosts both industry production and the economy in the home state of Gray Construction is nothing but an honor,” said Stephen Gray, CEO of Gray Construction. “We look forward to working with Sazerac as they expand in the U.S. market.”