From wholesaler’s market to multifunctional food hub

The outdated wholesaler’s centre, Spaanse Polder in Rotterdam, the Netherlands, has plenty of potential, according to business developer Robert van ’t Blik. He was approached by Urban Industrial (UI), which has owned the wholesaler’s marker since December 2106. After extensive research and visits to leading wholesaler’s markets in global cities, Robert has now drawn up the outline of version 2.0 of the wholesaler’s market. UI will transform the wholesaler’s market into a multifunctional food hub by adding various functions to the logistical real estate, which will boost each other.

Buildings and routing will remain the basis of the redevelopment, UI adds facilities such as production, e-commerce, experience, retail and education. “Trade remains a primary activity, but by bringing together companies and knowledge partners, we’ll also ensure we’re adding value and ‘cross-pollination,’” says Robert. “We don’t just think in square metres, we also think about our users.” The transformation is divided into three stages, in which UI first tests the new functionalities. Stage one is currently being executed, and stage two is about to start. The project will be finished in 2022.

The wholesaler’s centre was developed by the municipality of Rotterdam more than 50 years ago to feed the city, the so-called ‘belly of Rotterdam’ Nowadays, the trading market serves roughly three types of customers: regular markets, ethnic supermarkets and catering. Many of these come from the area, but because of its broad supply, central location and easy accessibility, customers come from all over the country.

The redevelopment was given the working title of FEED center, which stands for Food, Education, Experience and Development. Feeding the city will remain its primary function. Robert: “We’re building on what we have, and we took a good look at tendencies and shifts on the market. Fruit and vegetables will become an increasingly important basis on the menu of modern consumers. The trend for convenience and the rise of various global kitchens is added to that.”

For ethnic supermarkets and market traders, the Spaanse Polder is one of the largest trade markets. It has a very extensive range of products from all over the world, well-suited for a metropolis like Rotterdam. “We’ll continue developing this, our ambition is to become the largest ethnic Cash & Carry in the world. Everything you need should be found here, both for BtB and BtC, because we also want to add a retail function.” Twenty-seven of the 50 companies located here trade in fruit and vegetables, the other business accommodations are taken up by Turkish, Moroccan, Caribbean and Asian wholesalers. UI wants to add even more diversity by attracting specialised wholesalers with Japanese, Korean, Chinese and Eastern European supplies, perhaps even with meat that’s halal, organic and/or has local origins. Next to the wholesaler’s centre there’s a regular meat processor they could also work with.

Besides the wholesaler’s function, the site will feature three new company activities: production, e-commerce and last-mile logistics, the so-called ‘e-food triangle.’ The food need of consumers is changing. “We’re seeing more and more attention paid to artisanal, catering, out-of-home, and ordering in. In our production spaces, caterers, food start-ups and established companies can create products to meet these needs. For example, catering chain Loetje could centralise mis-en-place activities here, a food start-up that wants to scale-up production from their own kitchen, or catering companies that need an institutional kitchen on request. Besides, we focus on e-commerce companies by setting up office and /or distribution spaces, for companies that provide work fruit or meal kits, for instance. The third part is last-mile logistics. Cleanly transporting all products to retail and final users, and preventing empty cargo kilometres.”

The combination of the e-food triangle and wholesaler’s activities results in synergy. “In the production spaces, companies process the products of the wholesalers into final products. These products are then sold via retail and e-commerce applications.That’s how we literally shorten distances, which leads to gaining time and more efficient transport, and that results in a stronger supply chain.”

Besides various kinds of activities, UI also wants to appeal to practice-based education focused on food and logistics: from catering schooling and quality inspectors to fork-lift truck drivers. “There’s an enormous potential of employment in this sector, but a major mismatch between supply and demand. By facilitating educational options, students can learn the entire process here: from how a production kitchen operates to trade and logistics. We also think education is the connecting factor that is the engine for further development and innovation.The eventual goal is a sustainable food-trading eco-system in which all functions have been integrated without waste streams and food waste.” Consumers are involved in all of these processes. “We’ll be offering experience activities to give an overview of what’s all involved in creating the products.”

In stage one of the redevelopment, a ‘food lab’ will be created, a production kitchen of about 200 square metres, a catering place where products from the production room can be sold as well, and a working space to meet people and create. The production kitchen and working spaces have already been finished. “Start-ups are already queueing to start using these,” Robert says. When the food lab is successful, another expansion of about 1,500 square metres of production rooms will be built during stage two (finished in late 2019), which will consist of about 5,000 square metres of work space in total, and which will be opposite the current wholesaler’s market. In that development, UI combines the e-food triangle functions with those of other wholesale companies. Wholesalers will be located on the ground floor, the other functions will be one floor above that. “We’re testing the food hub in this building. We’ll continue working on its multifunctional character, and paying attention to consumer activities, experience and a new look.” Lessons learned in stage two are brought over to stage three, during which the Spaanse Polder itself will be taken care of. All existing warehouses, about 50,000 square metres in total, will be replaced by new buildings in four stages. “For existing companies, this means they’ll temporarily move to a new location. We expect stage three to start in 2020, and to last until 2022.”

Robert van 't Blik