Kendall-Jackson

American Canyon, CA
 

Landscape

Kendall-Jackson was launched in 1982 with one wine label produced from its 80-acre orchard. Today – with more than 15,000 acres of California coastal vineyards – Kendall-Jackson distributes 35 brands from its 19 wineries both nationally and internationally. To keep up with the pace of the growing family of wines, the family-owned winery added warehouses to its operations with each phase of growth. By 2007, Kendall-Jackson had 11 warehouses spread across three counties—each carrying different wines and being controlled at different temperatures to accommodate the preservation needs of the various wines.

Objectives

In 2007, Kendall-Jackson sought to consolidate its 11 warehouses into a single facility that could appropriately store and better facilitate the distribution of its different wines, ultimately allowing the company to realize greater productivity, efficiency and cost savings.

Additionally, Kendall-Jackson had the following facility requirements:

  • A Napa Valley address, which was largely significant to its clients and vendors
  • The ability to accommodate the varying temperature requirements of each wine
  • The ability to improve inventory management systems
  • Accessibility to the interstate for greater ease in logistics and distribution
  • Accessibility to the Union Pacific Railroad to allow rail shipment
  • Land that could be zoned for warehousing, distribution and office space

Solutions

The Right Location

Property within Napa Valley is scarce. Take into account the requirements for zoning and transportation infrastructure and the field of options becomes even slimmer. Through a robust and active network and resources, Scannell Properties secured land in American Canyon – in the heart of where Kendall-Jackson wanted to be – that fit all of its zoning, rail and infrastructure needs.

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The Right Facility

The primary requirement for the new warehouse centered on the need to increase efficiency for floor operations, order processing and inventory management. Kendall-Jackson also sought to substantially reduce transportation, warehousing and operating costs. One of the specific challenges was the need to economically support the varying climate requirements of the complete family of wines. Each individual wine had specific temperature needs that were necessary to preserve its quality—and the reputation of Kendall-Jackson. As a result, Scannell employed extensive design studies to determine a temperature that could support the current wine catalog as well as any that might be created in the future. Scannell's design and engineering team worked with Kendall-Jackson's winemakers to ascertain how to build out the warehouse so it worked for each individual wine. The result was a climate-controlled warehouse of 55° (to +/- 1°) that effectively satisfied the requirements of all brands, eliminating the need for various warehouses. Because of Scannell's commitment to building solutions that matter, great care was taken to design with sustainable methods. As a result, Kendall-Jackson's new 650,000-square-foot facility was the first LEED gold-certified, climate-controlled facility in California.

Tailored for Logistics

With the volatility of fuel prices, distribution via railway has become more important. As a result, Scannell, designed Kendall-Jackson's new facility with 12 rail doors – in addition to 38 truck dock doors – to support both rail and truck shipments. In an effort to ensure success, Scannell also helped Kendall-Jackson negotiate railroad agreements with Union Pacific to solidify lower cost rail transit through its warehouse.

Scannell's design team also provided several amenities that offer Kendall-Jackson with greater cost savings and productivity:

  • 20,000-gallon fuel island to provide greater convenience and cost control
  • 200,000-lb truck scale that eliminates the need for third-party scale providers—not to mention the backtracking on a route (and wasted time) to check into a weighing station
  • 13,000-square-foot office space for logistics and marketing personnel that allows for better communication and coordination

Outcome

Scannell developed an innovative, climate-controlled warehouse and distribution facility – the first LEED gold-certified, climate-controlled facility in California – to consolidate Kendall-Jackson's multiple points of distribution into a single facility, substantially reducing Kendall-Jackson's facilities and logistics costs.

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Company

Scannell Properties is a privately owned real estate development and investment company that focuses on build-to-suit and speculative development projects throughout the U.S. and in Canada.

Contact us

Scannell Properties
8801 River Crossing Blvd., 
Suite 300 
Indianapolis, Indiana 46240
Phone: (317) 843-5959
Fax: (317) 843-5957

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