Wednesday, February 21, 2018

Official: GG Distributing's move from Longview, Palestine delayed by weather

From Staff Reports
Feb. 8, 2018 at 11:43 p.m.

GG Distributing LLC has hit weather-related delays in moving its Longview and Palestine beverage warehouses and offices to a consolidated location in Owentown, General Manager Gary Steffey said.

"Weather held us up," said Steffey, who added construction continues at the site near Tyler that formerly housed a U.S. Postal Service sorting facility. GG owns the property.

GG Distributing has pushed back completion of the building to March and occupancy to April, Steffey said.

Beaumont-based GG, which has had a physical presence in Longview since 1999 and purchased Coors of Longview in 2014, is making the move because the Owentown site near FM 3311 and Interstate 20 offers more space and is centralized to serve the customer base in 30 counties the company said. The combined market stretches from Huntsville to Texarkana.

In October 2016, after GG had chosen Smith County over Gregg County for the consolidation, the Smith County Commissioners Court approved tax abatements for the project, which called for investing about $15 million in renovation and construction. It also envisioned creating at least 160 jobs — and potentially 185.

Steffey, who started working for the distributor in 1988 and was promoted to general manager in 1999, has said company officials decided about six years ago to consolidate operations to a more central location. The Longview office/warehouse at 105 Rothrock Drive and smaller warehouse at 1603 E. Whaley St. supply beer, bottled water and energy drinks to retailers in 18 counties, along with kegs to liquor stores and bars.

The Owentown building, which dates to 1993, has been gutted and undergone other extensive work to expand from 150,000 to 215,00 square feet, Steffey has said. By contrast, Longview and Palestine have combined warehouse space of 150,000 square feet the company leases.

Steffey stressed GG is not abandoning Longview. About 50 of the of the estimated 90 employees and others who live in nearby communities will be able to stay on the job if they are willing to commute.

Charles Giglio bought the warehouse and offices of Tom White in 1999. Formerly known as Giglio Distributing, the company changed its name to GG Distributing LLC in 2012 when it became a limited liability company.



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