OK Tire plans to invest $100 million over the next five years to expand its distribution center capabilities in Canada. The nationwide expansion will add over 500,000 square feet to the company’s network.
Construction will begin soon on the first new DC in central Canada. The other locations have not been announced.
“Our objective is to future-proof our business, which is why we are installing state-of-the-art distribution systems at our new facilities,” Chief Operating Officer Michael Rutherford said in a statement. “We will be able to carry more products and service our retail locations with an expanded line of tires and automotive products.”
OK Tires currently distributes from 11 DCs across Canada in Surrey, Calgary, Acheson, Saskatoon, Regina, Blumenort, Mississauga, Baie D’Urfe, Moncton, Clarenville and Dartmouth. The expansion will include a mix of new locations, relocations and extensions to the capacity of some existing DCs.
The DC expansion plan comes at a time when OK Tires is experiencing “phenomenal and consistent growth” in its network on both the commercial and retail side, according to the company.
It is the first major initiative of OK Tire’s five-year growth plan and is said to be the most significant expansion in the company’s 66-year history.