Home » Kenlake Foods investing $24M to expand manufacturing operation in Murray

Kenlake Foods investing $24M to expand manufacturing operation in Murray

MURRAY, Ky. — Kenlake Foods, a wholly owned subsidiary of the Kroger Co., is expanding its current operation in Calloway County with a $24 million investment creating 15 high-wage, Kentucky jobs.

The $24 million investment will expand the Murray operation by 6,000 square feet, bringing the facility’s total square footage to 215,000. The project will include installing new processing equipment for dry roasting and packaging various nut lines.

Kenlake Foods has provided snack, baking and produce nuts to all Kroger retail divisions since 1982. The company also specializes in manufacturing more than 800 items, mostly dry mixes and salted nuts, but also processes puddings, gelatins, drink mixes, instant oatmeal and oats. The Murray plant was one of the first 41 Kroger manufacturing plants across the United States and employs over 340 Kentuckians today.

Kroger maintains 112 stores in Kentucky, employing more than 19,000 associates. The Commonwealth is also home to four manufacturing and distribution facilities that service the company and a regional headquarters in Louisville. Since 1987, Kroger’s floral designers have created the famous Kentucky Derby Garland of Roses. In 2017, Kroger and the University of Kentucky entered a 12-year marketing agreement that renamed the university’s football stadium to Kroger Field.

Kenlake Food’s investment and job creation further recent economic momentum in the commonwealth as the state builds back stronger from the effects of the pandemic.

In August, the Kentucky Economic Development Finance Authority (KEDFA) approved a 10-year incentive agreement with the company under the Kentucky Business Investment program to encourage investment and job growth in the community. The performance-based agreement can provide up to $150,000 in tax incentives based on the company’s investment of $24 million and annual targets of:

  • Creation and maintenance of 15 Kentucky-resident, full-time jobs across 10 years; and
  • Paying an average hourly wage of $36, including benefits across those jobs.

By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.

In addition, Kenlake Foods can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.

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