Hy-Vee Acquires Total Stake in Hy-Vee Weitz Construction
March 1, 2013 | News & Press Releases
WEST DES MOINES, IA – Hy-Vee, Inc. announced today that it has entered into an agreement to purchase The Weitz Company’s interest in a joint venture company, Hy-Vee Weitz Construction. The company will operate under the name Hy-Vee Construction, L.C. and remain at existing headquarters at 5605 NE 22nd Street in Des Moines. The construction management company will be led by current president, Brad Strehlow and will retain all employees.
“The partnership between Hy-Vee and The Weitz Company has been very successful and rewarding for both companies over the last 17 years,” said Randy Edeker, Chairman, CEO and President of Hy-Vee, Inc. “As we approach the end of our original operating agreement, it presents us with an opportunity to expand with our own in-house construction management group.”
Hy-Vee Inc. and The Weitz Company formed the joint venture partnership in 1995 to develop and build Hy-Vee’s retail stores and related grocery facilities more efficiently and economically.
“We are proud of our partnership with Hy-Vee,” said Leonard Martling, Chairman and Chief Executive Officer of The Weitz Company. “This type of partnership was highly innovative and among the first of its kind. It provided an integrated model that resulted in increased productivity, cost efficiencies, and quality building projects.”
Hy-Vee Weitz Construction has been a leader in adopting lean construction principles and, in recent years, has completed several LEED-certified and LEED-eligible green building projects. The company has completed more than six million square-feet of retail, warehouse, and food processing projects, including new and remodeled space.
The purchase price was not disclosed, but the deal has been approved by the boards of both companies and should close within the next 30 days.
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Hy-Vee Weitz Construction, LLC is a full-service general contractor and construction management company specializing in the construction of the grocery retail and related facilities. The company was formed in 1995 as a joint venture between Hy-Vee Inc. and The Weitz Company. For more information, please visit, www.hy-veeweitz.com.
Hy-Vee, Inc. is an employee-owned corporation operating 233 retail stores in eight Midwestern states. For 2012 the company recorded sales of $7.7 billion, ranking it among the top 25 supermarket chains and the top 50 private companies in the United States. To learn more, please visit the company’s website, www.hy-vee.com.
The Weitz Company, founded in Des Moines, Iowa in 1855, is the second oldest commercial general contractor in the United States. The company is a full-service general contractor, design-builder and construction manager with offices in nine states and Guam. For more information, please visit, www.weitz.com.