Goochland-Based Performance Food Group Settles 2-Year Henrico Warehouse Lease Dispute

Performance Food Group has settled a lease dispute with the owner of its 332,000-square-foot distribution center at 7420 Ranco Road, ending litigation that had put the facility’s future in question, Richmond BizSense reported. The outcome resolves dueling lawsuits that asked whether the Goochland-based Fortune 500 distributor had the right to remain on the site.

The warehouse has deep roots in the region: it was built in 1969 and, according to public reporting, PFG owned and operated the building until Ranco bought it in 2002. Since the sale, PFG and affiliates such as Performance Foodservice have continued to occupy the property under lease arrangements. Photographs used in earlier coverage showed PFG trucks in the facility’s parking lot, a visible sign of the center’s role in local freight and employment.

Court papers filed by the owner, identified in reporting as Ranco-Ric LLC, alleged that PFG was in default and that the lease’s renewal option could not be exercised. As WTVR reported, “In a lawsuit filed last month, the property’s owner, Ranco-Ric LLC, says that the publicly traded food distribution giant’s 22-year lease at 7420 Ranco Road is coming to an end, and the agreement’s renewal option can’t be exercised because PFG is allegedly in default.” The complaint claimed the facility “needs more than $5 million in work to remediate mold found in the warehouse’s offices, redesign fire and life safety systems and address other issues.”

PFG pushed back in filings, asserting it had renewed the lease and planned to remain on site for an additional five years after the initial term ended, and in filings noted by other coverage stated that “the landlord agreed to allow it to continue to operate at the site through June 2025.” That back-and-forth produced the countersuit and the characterization of “dueling lawsuits” in earlier commercial-real-estate coverage.

Attorneys listed in public accounts handling the dispute include Noah Sullivan and Ryan Starks of Gentry Locke for the owner and Ryan Frei, Patrick Dillard and George Martin of McGuireWoods for PFG. Reporting did not disclose settlement terms, and one republished account noted that “Ranco declined to comment on the case through an attorney. PFG didn’t respond to requests for comment.”

For Goochland and Henrico residents, the settlement removes the immediate risk of a sudden vacancy or operational shutdown at a major local distribution hub. The unresolved public record, however, leaves open key questions: who will pay for the alleged repairs exceeding $5 million, what timeline governs remediation, and how long PFG will continue to operate from Ranco Road under the settlement. Local traffic patterns and job stability at the site will hinge on those answers.

Expect follow-up filings or statements from counsel and possible court docket entries that could clarify occupancy and repair responsibilities; until then, the settlement preserves continuity for workers and suppliers but leaves the longer-term status of the Ranco Road facility uncertain.