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Ollie’s Bargain Outlet to support growth with new distribution center

Ollie's is expanding its distribution capacity.

Ollie's Bargain Outlet Holdings Inc. has big plans for expansion in the Midwest.

The close-out retailer is in the process of building a 615,000 -sq.-ft. distribution center in Princeton, Ill with ARCO Design Build. Scheduled to open in 2024, the new distribution center is a part of Ollie's nationwide expansion efforts to open more than 1,050 stores and will specifically enable it to enter new states in the Midwest market.

This facility will be Ollie’s first distribution center in the Midwest. According to the retailer, it will provide the capacity to service an additional 150 to 175 stores in that region of the country, supporting the next leg of its new store growth.

[Read more: Ollie’s Bargain Outlet Q1 earnings, sales rise; lifts outlook; opening 44 stores]

The facility will service all nine Ollie's stores in Illinois, as well as more than 150 stores across the Midwest, including its 500th store, which opened the week of Sept. 25 in Iowa City, Iowa – which also marks Ollie's 30th state.

 The retailer says the new Princeton facility, representing a capital investment of over $75 million over the coming years, will also create over 200 new full-time jobs in the next few years. 

"This is an exciting day for Ollie's. We are looking forward to expanding into the Midwest market and delighted to deliver real brands and real bargains on products that shoppers need and use in their everyday lives," said Eric van der Valk, executive VP and COO. "In addition to more bargains, the opening of our Midwest distribution center and store base will create more jobs for the hardworking people in America's heartland."

As part of the expansion, Ollie's received an Economic Development for a Growing Economy tax credit, which stipulates a goal of investing $75 million into the local community and creating over 200 jobs in the next few years. Ollie's will begin employee recruitment for the Princeton distribution center in 2024

Based in Harrisburg, Penn., Ollie's Bargain Outlets Inc. is America's largest retailer of closeout merchandise and excess inventory, offering brand-name products in departments including housewares, food, books and stationery, bed and bath, floor coverings, toys, and health and beauty aids. Ollie’s currently operates 500 stores in 30 states.

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