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Coca-Cola to sell local warehouse

Once the Coca-Cola Southwest Beverages warehouse on South Main Street sells, the company intends to find a different site for a distribution drop-lot, a spokesman says. (Lisa Dunlap Photo)

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Plans part of consolidation in region announced earlier

A South Main Street warehouse is for sale as a Texas-based company is reorganizing its New Mexico operations.

The Coca-Cola warehouse operation at 3104 S. Main St. is in the process of being sold, confirmed Ismael Arebalos, director of public affairs and communications for Coca-Cola Southwest Beverages LLC, based in the Dallas-Fort Worth area.

After the sale, the company intends to find another site in Roswell to serve as a distribution “drop-lot” location.

“We are changing the way we store and distribute our products in Roswell,” Arebalos said.

In November, the company informed employees that it was consolidating its Hobbs and Clovis warehouse operations and converting the Roswell location into a distribution drop-off site in an effort to “optimize its supply chain network and bring greater efficiencies to our local operations.”

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At that time, Arebalos said that the company’s southeastern New Mexico workforce had been told that about 45 jobs are expected to be eliminated during the transition, with some people offered other positions with the company and some positions eliminated through attrition. Local sales and merchandising positions and drivers and technicians in Roswell are not expected to be affected, Arebalos said.

“While difficult, these changes are helping us create a faster, leaner and more agile organization to accelerate growth in the local marketplace,” he said. “We do not take decisions about job impacts lightly and are committed to treating our people with dignity, fairness and respect throughout this process.”

Arebalos chose not to give a sales price for the warehouse and said he could not say at this time what the size of a new location might be.

According to Chaves County Assessor’s Office records, the warehouse and office total about 35,198 square feet and are located on about 6.4 acres. The actual value of the property for tax purposes was put a bit over $1.2 million for 2019.

According to the company’s website, it is a subsidiary of Arca Continental Beverages, which has its headquarters in Monterrey, Mexico. In September 2018, Arca announced it was building a new $250 million production and distribution facility in the Houston area. Coca-Cola Southwest operates in Texas, New Mexico and Oklahoma.

Senior Writer Lisa Dunlap can be reached at 575-622-7710, ext. 311, or at reporter02@rdrnews.com.

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Lisa Dunlap is a general assignment reporter for the Roswell Daily Record.