Performance Food Group Company, a leader in foodservice distribution, will invest $80.2 million to establish a 325,000-square-foot regional sales and distribution center operation in Ashland, Virginia. The project is expected to create 125 jobs in Hanover County.

According to company officials, the new facility will replace the company’s existing similarly-sized regional distribution center at 7420 Ranco Road in Henrico County. The location is expected to be operational by June 2023.

“Since the company’s founding in Richmond in 1885, Performance Food Group has called Virginia home,” said Performance Food Group Chairman, President, and CEO George Holm. “With our new state-of-the-art food distribution facility in Hanover, Performance Food Group reaffirms its commitment to Virginia, our associates, and our valued customers. Virginia’s talented workforce and business-friendly environment will continue to fuel Performance Food Group’s plans for growth.”

The Virginia Economic Development Partnership (VEDP) worked with Hanover County to secure the project for Virginia, and will support the company’s job creation through the Virginia Jobs Investment Program. The program provides consultative services and funding to companies creating new jobs in order to support employee recruitment and training activities. As a business incentive supporting economic development, the Virginia Jobs Investment Program reduces the human resource costs of new and expanding companies. The program is state-funded due to Virginia’s commitment to enhancing job opportunities for citizens. Performance Food Group is also eligible to receive benefits from the Major Business Facility Job Tax Credit for new, full-time jobs created.

“We are proud that Virginia-based Performance Food Group is establishing a regional sales and distribution center operation in Hanover County, creating 125 new jobs,” said Secretary of Commerce and Trade Brian Ball. “The company’s decision demonstrates its continuing commitment to Virginia and strengthens the Commonwealth’s position as a logistics leader on the East Coast.”

Performance Food Group is an industry leader and one of the largest food and foodservice distribution companies in North America with more than 150 locations in the U.S. and parts of Canada. Founded and headquartered in Richmond, Virginia, PFG and its family of companies market and deliver quality food and related products to 300,000+ locations including independent and chain restaurants; businesses, schools and healthcare facilities; vending and office coffee service distributors; and big box retailers, theaters and convenience stores.

“Performance Food Group had a choice in where to locate, and we thank the company for choosing Hanover County,” said Hanover County Director of Economic Development Linwood Thomas. “This announcement is a prime example of the importance in the investment of site development at the local level in conjunction with the Virginia Business Ready Sites Program. The project would not have been possible without the zoning in place and Tier 4 designation provided by the Virginia Economic Development Partnership.”