BHS Corrugated acquires large property in Weiherhammer for logistics park

20.01.2021

BHS Corrugated acquires an 18-hectare property in the catchment area of the municipality of Weiherhammer. This is the open space in the »Weberschlag« area, which is located in the industrial park next to the Pilkington Deutschland AG (NSG Group) site and has a direct rail connection. A logistics park will be built here in the coming years.

Logistics has a significant importance in the future development of BHS Corrugated: Not only perfectly coordinated internal logistics, but also various logistics products and solutions for customers will be increasingly required in the coming years. The logistics park is being developed with various aspects of these goals in mind. Consideration is also being given to sustainable, environmentally friendly and social aspects for the planning and development of the area. "In a crisis, you have to invest, as strange as it may sound. After all, securing and expanding a company and its surroundings is about pursuing long-term, strategic development. It has nothing to do with short-term problems," says Managing Director Christian Engel. 


The future-oriented project will be divided into several subprojects:

1. A new logistics center with automated spare parts logistics will be built, bringing together the existing central warehouse and the logistics of BHS Corrugated at a central location. 40 million euro is planned for this first project. The building application will be submitted before the end of March 2021; it is planned to go live at the beginning of 2023.

2. The other areas are being developed in various blocks:

  • One block is initially intended for a possible expansion of the BHS Corrugated logistics concept. 
  • A second block for possible further BHS Corrugated logistics projects, in particular the development of product solutions for our customers, which could not take place in Weiherhammer so far.
  • A third block involves logistics services for third parties, which are also known in the industry as »third party logistics« or »global outbound logistics«. These services can include, for example, sea packaging and intermediate storage, so-called »Kanban« processing, or classic warehouse logistics such as order picking or spare parts shipping.
  • The fourth block is intended for further development and possible interested parties.

"All in all, we are looking forward to a very speedy implementation of all blocks," says Christian Engel.
The reasons for the project and finally the purchase of the property of the municipality of Weiherhammer are different. A new logistics concept was necessary to realize the doubling of BHS Corrugated's business at the Weiherhammer site.

Christian Engel: "We happen to sit on an island: on one side the Haidenaab, on the other the Beckenweiher – our current location can no longer be expanded." There would also have been an opportunity to invest near the production site in Tachov, Czech Republic, but the decision was finally made in favor of Germany. Due to the cancellation of the previous interested parties to the new area in Weiherhammer, the opportunity has arisen to locate in close distance to the current site. Plans for a new logistics concept have been in place for a long time. Christian Engel: "We would like to thank the municipality of Weiherhammer, especially Mayor Biller, once again for their very open and constructive cooperation. We always find that the smaller the municipality, the easier it is to implement joint projects that have a lasting effect. Thus, the speed of development should be in no way inferior to a Tesla factory." BHS Corrugated expects to double its business volume of recent years. In the long term, a 1 - 1.5 billion euro company is expected.

By dividing the project into different subprojects and blocks, a sustainable, ecological expansion can be achieved. For example, the selection of the right energy supply and short distances play a role here. Lars Engel: "Corrugated board is a 100% recyclable product. We don't just want to emphasize the environmental concept in the product, but also deal with it during production. Consequently, this naturally includes the entire value chain, including a logistics park. We want to try to combine the economic criteria with sustainability, the environment and social aspects." Mayor Ludwig Biller and the local council decided in favor of BHS Corrugated after the logistics concept was presented. "After the availability of the areas became known, we received various inquiries from interested parties for the areas. With this decision, we would like to further support the Weiherhammer location for BHS and also see many synergy effects for other companies in the municipality, which will also benefit from the development in this course." For example, other community businesses have already been assured that space will be made available for expansion plans. This would not have been possible with the original plans, so Biller speaks of a "win-win situation" for the community and the region.
 

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