Work has begun on the construction of ebm-papst’s new 38,000sq m distribution centre near its Hollenbacher factory in Germany.

A ground breaking ceremony was recently held in the presence of State Premier Winfried Kretschmann.

The new building, which is expected to cost around €36 million, will be a logistics centre that will dispatch the fan manufacturer’s high-tech products to its customers worldwide. It is scheduled to go into service at the end of 2016.

Construction of the distribution centre was dependent on improvements to Hollenbacher Steige, the transport route between Hollenbach and ebm-papst’s headquarters in Mulfingen.

Chairman of the ebm-papst group management board, Rainer Hundsdörfer, said: “We urgently need this upgrade if we are to optimise logistics between our locations in Hohenlohekreis. If this road were not going to be improved we would not have approved this sizable investment in Hollenbach and Mulfingen. I am pleased that we will remain faithful to the area and can safeguard jobs in Hohenlohekreis for the long term.”

In addition to the distribution centre, in early 2016 ebm-papst will also begin constructing new buildings at the Mulfingen site that will house expanded research and administrative areas. Two new buildings will be integrated into the existing business landscape to provide additional office space and new measuring and testing facilities. The fan specialist will be investing a further €30 million in this project.