Kraft takes over Cargill space in Springfield Underground

Last edited 2:28 p.m., April 26, 2016

The Kraft Heinz Co. (Nasdaq: KHC) has settled in to the former Cargill Inc. space at Springfield Underground.

The lease of the 125,000 square feet left vacant by Cargill led first-quarter commercial real estate moves, according to Xceligent’s most recent Market Trends report released last week.

Springfield Underground President and CEO Louis Griesemer said Kraft took over Cargill’s lease in mid-March. Kraft now operates 841,000 square feet in the northeast industrial center, further cementing it as Springfield Underground’s largest tenant, he said. Griesemer declined to disclose lease details.

"Our company experienced warehousing and storage overflow within our operating facility," Kraft spokesman Michael Mullen said via email of the need for the additional space.

Cargill finished vacating the space in the third quarter, several months after announcing it would close the facility and lay off 188 employees.

Kraft is increasing its investment in the Queen City.

At its Springfield manufacturing plant on East Bennett Street, the company plans to invest over $33 million to add eight new production lines and over 100 new jobs with the help of a city-approved bond financing plan.

The underground space formerly was home to Willow Brook Foods before the company’s Springfield operations were acquired by Cargill in 2008. After the purchase, Cargill closed Willow Brook plants at 501 N. Main Ave. and 405 N. Jefferson Ave., eliminating 780 local jobs.

Cargill officials cited a plan to streamline operations in closing the meat slicing and packaging facility at 3610 E. Kearney St.