New, modern liquor warehouse increases efficiencies

A new, larger location offering increased efficiencies, modern technology and an improved working environment has been chosen for the Liquor Distribution Branch’s (LDB) Lower Mainland warehouse.

The LDB has long outgrown its current location at 3200 E. Broadway Ave. in Vancouver and plans to move its warehouse operations to 7003 72nd St. in Delta in the spring of 2018. The current Vancouver warehouse was built in 1964 and much of the equipment has not seen any significant investment or updates since that time.

The new distribution centre will allow the LDB to introduce modern warehouse management processes, acquire updated material handling equipment, and implement a new warehouse management information system that will increase operational efficiency, improve wholesale customer satisfaction, and decrease operating costs. Having increased capacity will also allow for more extensive inventory of product offerings, support small business by making their products more accessible to retailers, and improve service levels.

The Province explored many options to identify the best solution. Business, legal and fairness advisors were involved to ensure a thoughtful, comprehensive approach. In addition, the Province asked the marketplace for options and notified industry when a suitable site was identified in the event there was an alternative location that hadn’t been considered. Open and transparent competitive processes were used to procure services and identify a new facility.

The lease term is for 10 years, with two, five-year options to extend, which will ensure the LDB can continue to provide high quality service to the liquor industry and British Columbians while providing value for taxpayers.

The capital budget for the new warehouse, including costs for new equipment, systems and the relocation, is $57.1 million.

More than 10,000 businesses in B.C. are licensed to sell liquor and almost all rely on the LDB to buy or distribute their products. The LDB supplies the restaurant, bar and hotel industries, private liquor stores, and British Columbians directly through BC Liquor Stores, the LDB’s retail division.

Quick Facts:

•Every year, the LDB buys alcohol from more than 1,000 Canadian and international suppliers and manufacturers, supplying product to wholesale and retail customers across the province.

•The LDB is one of the largest retailers in B.C., with more than 40 million retail customer visits to BC Liquor Stores annually.

•The LDB also operates a warehouse in Kamloops and contracts for additional warehouse space as required.

•The Province has been leasing the current warehouse location following its sale in 2014.

•The LDB is committed to promoting the responsible use of alcohol ― for example, through monthly campaigns in all 198 BC Liquor Store locations.

•The LDB contributes more than $1 billion annually to the Province of B.C., helping provide financial support for vital public services such as health care and education.