Local distributor King Beverage purchases land near Spokane International Airport for new distribution facility

King Beverage Inc. is a step closer to building a large distribution center on the West Plains.

The Spokane Valley-based Anheuser-Busch distributor purchased a 20-acre site for $1.9 million from the Spokane Airport Board last month, Spokane County Assessor’s Office records show.

The company plans tobuild a 204,800-square-foot warehouse and a two-story, 20,000-square-foot office on the site, which is near the northwest corner of Geiger and Flightline boulevards in the Spokane International Airport Business Park.

The company will relocate from its 8,800-square-foot facility at 6715 E. Mission Ave. in Spokane Valley upon completion of the project, said Peter Rusnak, president and CEO of King Beverage.

“With the growing business, we currently are coming into a capacity issue with our current structure and we don’t have the room to grow in the Valley,” Rusnak said. “So, we’ve been exploring land opportunities for some time, and this opportunity came about.”

Spokane Airports CEO Larry Krauter said in a statement the airport board’s sale of surplus property to private sector companies benefits the regional economy by supporting new development and job creation.

“Additionally, because we are financially self-sufficient, the revenue from land sales is helpful as it will be used to fund operational and capital needs at Spokane International Airport,” Krauter said.

The new site provides King Beverage additional space to expand its operations and capture more partnerships with beverage suppliers, Rusnak said.

King Beverage looked at other locations for a new distribution facility but chose the West Plains, in part, because of recent road improvements near Interstate 90 and Geiger Boulevard that will improve logistics and delivery, Rusnak said.

“New infrastructure and utility improvements allow us to absolutely be far more efficient,” Rusnak said.

King Beverage expects to break ground on the new distribution facility in 12 to 18 months, Rusnak said.

A project cost has not yet been determined.

Spokane-based Uptic Studios is designing the facility.

King Beverage plans to hire more employees when it opens the new facility, although an exact number is not yet known, Rusnak said. The company employs more than 225 people in the state, including 100 in the Spokane area.

The West Plains facility, when complete, will be “cutting-edge and green-friendly,” Rusnak said.

The facility will use renewable energy via solar panels. King Beverage has also placed new fleet orders with electric vehicle companies Rivian and Tesla Inc., Rusnak said.

“We are definitely gravitating toward energy-efficient vehicles and moving away from diesel and fuel-service vehicles,” Rusnak said. “We are hoping this new facility allows us to be cutting-edge with electric service vehicles.”

Theodore P. Rusnak founded King Beverage in 1980, then known as B & B Distributors.

After acquiring several other Northwest distributors, the company changed its name to King Beverage. In addition to Spokane, the company has Washington distribution points in Union Gap, Benton City and Chehalis.