GWOC needed more space to consolidate operations as it had outgrown its Santa Ana campus. Our team conducted an operational analysis, developed a facility program, and proposed a tailored solution. This included a new 155,000 SF facility with a two-tier mezzanine and material handling system to increase productivity. The new facility allowed GWOC to consolidate operations, implement an inventory management system, and accommodate future growth while subleasing an off-site warehouse for additional savings.

1. Team Experience
Goodwill of Orange County
Challenge
Founded in Orange County in 1924, Goodwill of Orange County is a nonprofit
organization providing thousands of people with disabilities and other barriers the
opportunity to achieve their highest levels of personal and economic independence
through competitive employment.
GWOC occupies a large campus in Santa Ana that serves as the receiving and
distribution center for all inbound donations and outbound deliveries to stores. While
the location supports the office personnel and other functions; the warehousing,
processing and distribution was impacting the operations due to the building
configuration and height limitations. Over the last few years, GWOC was required
to expand into two additional facilities to accommodate their growth. GWOC desired
to consolidate one or two of the secondary facilities into the current operations but
could not do so given the lack of space at the Santa Ana campus.
Action
Our team was introduced to GWOC as the GWOC team was seeking a partner
to help evaluate the current operations, analyze future space requirements and
develop a facility plan that would alleviate the occupancy pressure of the Santa Ana
campus while creating operational and employee efficiencies. Our team conducted
a complete operational analysis of the Santa Ana campus and developed a program
that illustrated the building, departments, functions and product flow of inbound,
processing and outbound deliveries. It was quickly determined the configuration
of the building was significantly limiting the overall production of the operations and
reconfiguring the space would not yield any benefits.
Over the course of 2 months, our team developed a tailored solution that would allow
GWOC the ability to expand into a new facility, consolidate one of the secondary
facilities into the new building and implement a material handling system that allowed
their employees to increase productivity while also increases flow through. The
designated material handling system included a two tier mezzanine, a GOH slick
track and the ability to sort inventory based on sales activity for each of the 60+
retail stores. Prior to this system, GWOC did not have an inventory management
system and lacked the ability to deliver merchandise to stores based on specific
store product sales.
Results
In a market that was less than 4% vacant, our team identified two options that could
accommodate the clear height requirements for the mezzanine GOH systems,
sprinklers that would support the diverse commodity classes of products, sufficient
square footage for warehousing and processing along with outside storage for
containers. We leveraged and negotiated both options before selecting the ideal
facility that was less than 5 miles from the Santa Ana campus. Prior to signing the
lease for the new facility, we were able to successfully sublease one of GWOC’s
61,000 sf off site warehouses and achieved economics that were greater than what
GWOC was paying. The new 155,000 sf facility and implemented material handling
system will allow GWOC the ability to accommodate their growing business while
providing flexibility to expand within the building due to future growth. The relieved
space at the Santa Ana campus is being redesigned to support other growing
business units.
Client:
Goodwill of Orange County
Building Address:
1231 Warner Avenue
Tustin, CA
Transaction Type:
Expansion & Relocation
Size:
155,000 SF
Services Provided:
Tenant Representation