AUSTIN, MINN. — Hormel Foods Corp. said it will increase its manufacturing operation in Omaha, Neb., after purchasing a former distribution center.

Papillion Foods L.L.C., a legal entity of Hormel, will run the operation and expects to employ 200 people with most coming from around Omaha.

“We are excited to expand our manufacturing footprint with this project in the greater Omaha/Council Bluffs area and are targeting a November 2020 opening for this first phase,” the company said.

A Hormel spokesperson also confirmed that it plans to spend $60 million in renovations on the former Shopko distribution center. The company said it paid $25 million for the current building and land.

The new Hormel facility will manufacture Jennie-O Turkey products, Spam and Skippy peanut butter, according to an Omaha World-Herald report.

Hormel said it has an independent supplier in Fremont, Neb., for its products but no additional production facilities in the state.