Medline leases 1.6M sq ft in NorCal after Tracy warehouse fire

Medline (Nasdaq: MDLN) has signed lease agreements for two Northern California distribution centers totaling more than 1.6 million square feet, following a fire that destroyed its 1 million-square-foot Tracy, Calif., facility on June 11.

The first facility, a 925,000-square-foot warehouse on Sugar Road in Tracy, is available for immediate occupancy and is located less than 10 miles from the destroyed site. A second facility of 709,000 square feet in Stockton, Calif., is expected to open in January 2027.

According to a company statement, the two facilities represent a 45% expansion of Medline's customer-facing Northern California distribution footprint compared to one month ago. The new Tracy facility is planned to begin accepting deliveries and shipping to customers via Medline's MedTrans truck fleet within the coming months.

CEO Jim Boyle said in the statement: "Securing and standing up a new facility in less than one month — and increasing our customer-facing footprint in Northern California by an incredible 45% — speaks to our incredible dedication to making healthcare run better every day for our customers."

Medline said its California distribution footprint is expected to reach nearly 5 million square feet by mid-2027, which includes a separate 1 million-square-foot facility under construction in Perris, Calif.

Johnny Glover, who served as senior director of operations at the original Tracy site, will lead the newly leased Tracy facility.

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