Grocery giant Ahold Delhaize USA has signed a major deal with Blackstone Credit & Insurance to build a massive automated distribution centre in Burlington, North Carolina. The agreement will see Blackstone invest $475 million into the project through a triple net lease arrangement.

Under this specific contract, Blackstone will own the building and pay for all the construction costs involved. Ahold Delhaize USA will then rent the facility for the long term and has been given the option to buy the property at a later date. This deal follows the first announcement of the project in October 2025 which valued the total development at $860 million.

“We are pleased to support Ahold Delhaize USA and enable a critical long‑term investment in its U.S. supply chain,” said Christopher Yonan, who is the Head of European Infrastructure at Blackstone Credit & Insurance. “This investment reflects our focus on partnering with leading investment grade corporations globally by providing flexible, low-cost capital through our credit and insurance platform.”

The new site in Guilford County will cover more than one million square feet. It is being built to handle fresh and frozen food specifically for Food Lion supermarkets. Work on the ground is set to start in the first three months of 2026. The company expects the warehouse to be fully operational by 2029.

“Ahold Delhaize USA, along with ADUSA Distribution, is proud to partner with Blackstone Credit & Insurance on this new distribution center,” said JJ Fleeman, CEO of Ahold Delhaize USA. “Through the new distribution center, ADUSA Distribution and ADUSA Transportation will expand their capacity to support Food Lion’s growth in the state, along with bringing new jobs. We continue to be very excited about locating this facility in North Carolina as we grow our presence in a state where our companies have done business for more than 65 years.”

This financial setup is intended to help the company spend its money more effectively on major projects. By using a long-term lease, the firm reduces the risks associated with refinancing large debts. The project is a boost for the local economy and is expected to create over 500 jobs within the ADUSA Distribution and Transportation divisions.

J.P. Morgan served as the financial advisor for the deal. Legal advice was provided by A&O Shearman for the retail group and Milbank LLP for Blackstone.