The Cold Storage Boom

The Cold Storage Boom

Cold storage is vital for preserving perishable goods like frozen foods, fresh produce, meat, and pharmaceuticals, and the country’s need for such facilities is rising. The construction industry is adapting to fulfill this demand brought on, in part, by e-commerce, food delivery services, pharmaceutical advancements, and customer demand for healthier options, quality packaging, and storage solutions. 

The pandemic accelerated changes in consumer behavior, particularly with online shopping and delivery services. According to Grandview Research, the U.S. cold storage market — valued at $36.91 billion in 2023 — is expected to grow at a compound annual growth rate (CAGR) of 13.3% from 2023 to 2030. These shifts have reshaped supply chains and regulations, creating a need to update existing cold storage facilities and build new ones.

Will New Jersey Benefit from the Boom?

New Jersey is uniquely positioned to benefit from the rising demand for cold storage. As a central logistics hub, the state has always played an important role in the distribution of goods. New Jersey is an ideal location for cold storage facilities, with easy access to major ports and highways and proximity to New York City and Philadelphia. The challenge is finding land to develop, but renovating existing facilities could be the solution.  

Construction Challenges in Cold Storage Facilities

The building of cold storage facilities presents unique challenges because they are highly specialized and must meet strict temperature and humidity controls. This involves installing advanced refrigeration systems, insulated walls, and doors that can handle extreme temperature fluctuations. Additionally, the design must account for the safety and efficiency of operations, ensuring that the facility can handle the movement of large amounts of goods while maintaining strict temperature control.

Meeting the Demand

The growing need for cold storage presents a significant opportunity for the construction industry. DeSimone is currently working on exterior and interior renovations and new expansion additions for Thomas Foods International. The industry leader distributes more than 100 million pounds of meat products throughout the year out of their Lakeside Processing Facility in Swedesboro, NJ. 

DeSimone recently completed interior renovation work for Atlantic Coast Freezer in Vineland, NJ. ACF is an official import inspection station and cold storage facility with over 125,000 square feet of temperature-controlled storage space. 

With its commercial clients expanding their product offerings in its national home delivery service program, Rastelli’s Foods Group needed additional warehouse space in its Swedesboro, NJ location. DeSimone built the company’s state-of-the-art 40,000-square-foot cold storage expansion. The project includes six loading docks and a 15,000-square-foot freezer.

Cold Storage Wrap Up

Cold storage is a critical part of our country’s infrastructure. With the right expertise, the construction industry can build or renovate facilities that not only meet the current demand but exceed it. At DeSimone, we are happy to play our part in an industry that keeps goods flowing and consumers satisfied.