Lineage Inc. to Reshape U.S. Cold Chain Logistics With $1 Billion Expansion Strategy

Lineage Inc. (NASDAQ: LINE), the world’s leading temperature-controlled warehouse REIT, has unveiled an ambitious expansion blueprint combining strategic acquisitions and next-generation automation. The company is set to deploy approximately $1 billion over coming years to fundamentally transform its U.S. cold storage footprint through a series of coordinated moves with longtime partner Tyson Foods.

The Core Deal: $247 Million Warehouse Acquisition

At the heart of Lineage Inc.'s expansion is a definitive agreement to acquire four operational cold storage facilities from Tyson Foods (NYSE: TSN) for $247 million. These assets span critical U.S. distribution hubs: Pottsville, Pennsylvania; Olathe, Kansas; Rochelle, Illinois; and Tolleson, Arizona.

The facilities represent substantial infrastructure, totaling approximately 49 million cubic feet of storage capacity with 160,000 pallet positions. Beyond real estate, Lineage Inc. will onboard over 1,000 Tyson Foods employees as part of the transaction, signaling commitment to workforce continuity. Expected closing is targeted for Q2 2025, subject to customary conditions.

Building the Future: $740 Million in Greenfield Development

Simultaneously, Lineage Inc. is committing over $740 million to construct two fully automated cold storage warehouses in major U.S. distribution markets. These greenfield developments will add more than 80 million cubic feet and nearly 260,000 pallet positions to the network.

Tyson Foods will serve as the anchor tenant for these facilities, which will leverage LinOS—Lineage Inc.'s proprietary warehouse execution technology. One facility already operational in Hazelton, Pennsylvania demonstrates the automation capabilities driving this partnership.

Strategic Alignment and Supply Chain Evolution

Greg Lehmkuhl, President and CEO of Lineage Inc., framed the expansion as an evolution in cold chain operations: “This expansion signals what we see as the next evolution of cold chain operations and reflects the growing demand for smarter, more responsive supply chain networks.”

The partnership between Lineage Inc. and Tyson Foods reflects shared values around supply chain efficiency, sustainability, and precision logistics. Lineage Inc.'s data-driven approach and global footprint—encompassing over 480 strategically located facilities with 84.1 million square feet across North America, Europe, and Asia-Pacific—position the company to deliver integrated solutions beyond traditional warehousing.

Long-Term Network Transformation

The acquisition warehouses will eventually transition to public warehouse operations, enabling Lineage Inc. to serve diverse customers while maintaining the Tyson Foods relationship. This hybrid approach maximizes asset utilization across the network.

The combined investments reflect broader industry trends: food producers and retailers increasingly demand logistics partners offering real-time visibility, automated handling, and supply chain resilience. Lineage Inc.'s capital deployment strategy addresses these market demands while strengthening its competitive positioning in the temperature-controlled logistics sector.