Amazon Australia to construct robotic fulfilment centre in Sydney's West
30 June 2020, Written by David Simmons
Amazon Australia has announced plans to open its first Amazon Robotics fulfilment centre at the Oakdale West Industrial Estate in Western Sydney, targeted for completion by late 2021.
The state-of-the-art distribution centre is the latest landmark development for Brickworks (ASX: BKW) and Goodman Group's (ASX: GMG) joint venture at the Oakdale West industrial centre, with Amazon the second customer to pre-commit to a lease following Coles in January 2019.
Amazon says the 200,000sqm centre will be equipped with advanced robotics technology to assist employees and serve customers.
The robots to be deployed in the fulfilment centre will move shelves to employees, thereby reducing the time and effort taken to stow items for sale or pick them for new orders.
Amazon says the use of robots will also save space, allowing for 50 per cent more items to be stowed per square metre.
The fulfilment centre will have a total floor area of around 200,000 square metres across four levels around the same land size as Taronga Zoo or 22 rugby fields and house up to 11 million items.
Brickworks managing director Lindsay Partridge says the pre-commitment from Amazon is yet another win for the Goodman Group joint venture after Brickworks sold the land into the JV trust in 2016.
"Brickworks is delighted to further strengthen the JV Trust by securing this significant pre-commitment," says Partridge.
"We are at the forefront of the e-commerce revolution, with our facilities playing a pivotal role in helping our customers meet the supply chain needs of this new economy.
"This project will deliver profit during the development phase and further rental income for the Property Trust once complete."
The just-announced robotic fulfilment centre will be Amazon Australia's second centre in Western Sydney and will double the company's operational footprint according to Amazon Australia director of operations Craig Fuller.
"The Amazon Robotics fulfilment centre will more than double our operational footprint in Australia, enhance efficiency and safety for our associates while ultimately providing customers with wider selection and faster delivery," says Fuller.
"We look forward to creating more than 1,500 jobs, the majority of which are permanent full time jobs, with the opportunity to work alongside advanced robotics to deliver the ultimate in service for customers.
"This investment will also benefit the 10,000 plus small & medium sized businesses who utilise Fulfilment By Amazon to seamlessly service customers across the country."
Business News Australia
Author: David Simmons