Netherlands-based retailer VidaXL is ramping up its operations in Australia, committing to build an 81,000 sqm national distribution centre in Melbourne.
The online-only business operates in the outdoor, home and garden sector, and initially expanded into Australia in 2014. The DC is expected to see construction completed in April 2022.
“The new national distribution centre is designed to help VidaXL accomodate its rapid online business growth and customer demand, which is in-line with the rise of e-commerce and a structural shift towards online retailing,” said Frasers southern region general manager Anthony Maugeri.
The site will feature a ~68,000 sqm warehouse, as well as two offices which are designed to accommodate separate tenancies.
CBRE’s Todd Grima said the transaction reflects the growing trend of e-commerce in Victoria, and that the DC will be able to hold over 100,000 pallets at a time.
“CBRE forecasts an additional 350,000 sqm of additional new space will be required each year to accommodate the growth in e-commerce,” Grima said.