Buffalo Trace Distillery will add 40 full-time jobs in the next two to three years and gain an 83,000-square-foot warehouse distribution center, the distillery’s parent company, Sazerac, announced Wednesday.
The new portion of the warehouse will be connected to the existing distribution center, according to a press release from Sazerac.
The distillery has scheduled a groundbreaking ceremony for April 30, spokeswoman Amy Preske said.
In February, the Frankfort City Commission approved de-annexing 5.48 acres of land on Wilkinson Boulevard for the expansion.
Before the decision, the site crossed from the county’s jurisdiction into the city’s land. The governments reached a tax-sharing agreement to push the plans forward.
“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,” the release said.
Sazerac plans to spend nearly $71 million total expanding Buffalo Trace and its two other Kentucky distilleries: 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.
The Kentucky Economic Development Finance Authority has given preliminary approval for tax incentives totaling approximately $7.4 million between the three Sazerac-owned sites.
“To see not one, not two, but three iconic distilleries expand their operations shows the world’s taste for bourbon is soaring,” Gov. Steve Beshear said in the press release.
“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.”
Gray Construction has been hired to design and construct highly automated distribution centers at Buffalo Trace and The Glenmore Distillery. The systems use satellite technology to store pallets in multiple deep storage lanes.
Sazerac is the first spirits supplier in the United States to use such technology.
“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. “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.”