Company

21 June 2024

REWE strengthens logistics with investments of 250 million euros in Magdeburg

Reading time: 7 min.

The new logistics centre for the dry goods range is considered state-of-the-art for full automation and sustainable construction.

REWE Group’s most modern logistics center is ready. Three years after the start of construction, the retail company celebrated the opening of RE D 39 in Magdeburg Rothensee on Friday, June 21, 2024, with guests from politics, the neighborhood and partner companies. REWE has invested around 250 million euros in the new building.

With an area of 49,500 square metres, the RE D 39 offers space for 20,000 items from the dry goods range. On peak days, up to 286,000 packages per day can leave the distribution centre via 53 outgoing goods gates. One of the reasons for the record-breaking efficiency of the new logistics centre: 50 percent of the warehouse processes in RE D 39 are fully automated.

With this high-tech warehouse in Magdeburg, we are not only securing the supply of goods to our stores in the north and east, we are also entering new dimensions in terms of the level of automation and performance of this second central warehouse. We opened our first partially automated central warehouse in Neu-Isenburg in 2014, followed by the second warehouse with partial automation in Henstedt-Ulzburg in 2022. Since then, we have gained a lot of experience with the automation of warehouse processes. With 50 percent full automation, the RE D 39 is now the next evolutionary step in central logistics and makes Magdeburg one of the most modern logistics locations – not only for us at REWE Group, but throughout Europe, says Peter Maly, who is also responsible for logistics and supply chain management on the REWE Group Management Board. REWE is working closely with technology partner Swisslog to achieve full automation.

We are delighted about the opening of REWE Group’s new central warehouse in our Magdeburg Rothensee industrial and logistics center and wish the new location a successful development,” said Mayor Simone Borris, confirming the establishment in the state capital of Magdeburg. The city administration was very happy to support the project. The high-tech food warehouse will once again raise the profile of Magdeburg as a business location. At the intersection of important European traffic flows, such as the A2 and A14 federal highways, the Deutsche Bahn AG network and the Elbe, Mittelland Canal and Elbe-Havel Canal shipping routes, Magdeburg offers decisive advantages for logistics companies.”

“Modern food retailing with store opening hours of up to 17 hours places enormous demands on logistics. With the opening of our new central warehouse, we have reached a major milestone in the implementation of our logistics strategy and can respond to future growth in sales, volumes and articles. The RE D 39 enables us to further optimize the distribution of goods in the REWE full-range segment by significantly increasing flexibility, with improved delivery frequencies and delivery bundling as well as competitive logistics costs”, explains Lars Siebel, responsible for logistics on the REWE management board. “Thanks to the optimal location for supplying the REWE regions North and East and the modern infrastructure in Magdeburg, we are able to control and optimize our supply chains even better.”

From Magdeburg to 1,900 stores

In future, RE D 39 will supply nine regional warehouses in the REWE East and North regions as well as 1,900 stores with food. In addition to REWE, nahkauf stores and other REWE Group retail partners are also customers of the new logistics center. When fully operational, around 270 people are employed here. The innovative automation of the order picking process enables highly ergonomic workstations: Only 50 percent of the product range – predominantly light and small goods – are packed manually due to their nature. The remaining 50 percent is picked fully automatically using automated case picking to reduce the ergonomic burden on employees. AI-supported algorithms are also used in the automation and robotics technology.

Sustainability in focus

Sustainability and energy efficiency played a major role in the planning for the RE D 39 from the very beginning, alongside state-of-the-art technologies. By supplying from Magdeburg instead of Neu-Isenburg, we save 4 million kilometres of transport every year, explains Andy Bertmann, Head of Central Logistics Management at REWE Markt GmbH. The new location thus has a decisive positive impact on REWE Group’s climate targets.

The new building was also certified with “Gold” status by the German Sustainable Building Council (DGNB). In order to limit soil sealing, the RE D 39 was planned as a multi-storey building – quite unusual for logistics properties. The RE D 39’s sustainability concept also includes the use of regional building materials, the use of waste heat with heat pumps, presence-controlled LED lighting, photovoltaic systems, green roofs and electric charging stations for cars and bicycles.

Larches, biotopes and a bomb find: the history of the building

After initial plans in 2016, the “RE D 39” project officially started in 2017 with project development and negotiations with the city of Magdeburg. Before construction began in 2020, a six-hectare replacement habitat was rented for a pair of field larks in the Sülze valley. The Metritze biotope located between the construction sites was specially protected so that the new construction project could be optimally integrated into the existing flora and fauna. Earthworks began in July 2020 and building construction started in January 2021. In September 2021, construction work had to be halted for a few hours due to a bomb being found. This was followed by the closure of the roof in October 2021. No topping-out ceremony could take place due to coronavirus. Following the acceptance of the building in August 2022 and the start of the gradual ramp-up in February 2024, Simone Borris, Mayor of Magdeburg, Peter Maly, REWE Group Management Board member, Lars Siebel, Managing Director Logistics & Supply Chain Management REWE, Jens Christian Schmale, CEO Swisslog, and Andy Bertmann, Head of Central Logistics Management, jointly opened RE D 39 on June 21, 2024.

About REWE

  • With sales of 30.6 billion euros (2023), more than 170.000 employees and over 3,800 REWE stores, REWE Markt GmbH is one of Germany’s leading food retail companies. REWE stores are run as subsidiaries or by independent REWE retailers.

    The cooperatively organised REWE Group is one of the leading trade and tourism groups in Germany and Europe. In 2023, the company generated a total external turnover of around 92billion euros. Founded in 1927, the REWE Group has around 390,000 employees and operates in 21 European countries.

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Contact

Raimund Esser

Head of Corporate Communications and Spokesperson REWE Markt

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