House of Fraser, the department store group, has submitted a planning application to Peterborough City Council, for the development of a new 750,000 sq ft distribution hub on the edge of Peterborough.
The move comes as its online retail business soars.
House of Fraser had picked Roxhill’s 240-acre Gateway Peterborough site, as exclusively revealed by SHD Logistics in April. In January, SHD Logistics also exclusively reported that House of Fraser had chosen a shortlist of sites after a search along the M1 corridor from Sheffield to Northamptonshire.
The site at the junction of the A1(M) and the A605 already has outline consent for up to 5 million sq ft of industrial and distribution buildings.
It is expected that the new distribution hub will create 500 to 1,000 local jobs.
House of Fraser chief executive Nigel Oddy said: “House of Fraser has seen phenomenal growth of its e-commerce business in recent years and has consistently delivered a strong financial performance, testament to the strength of our truly multichannel business.
"As a result of this growth, we need additional warehouse capacity to meet future supply chain needs and to meet demand for products from our customers. After an extensive site search for an additional facility across the Midlands, we have submitted a planning application to develop a site in the Gateway Peterborough development.”
House of Fraser has two existing distribution centres in Wellingborough and Milton Keynes, with current third-party logistics agreements running to at least H2 2018, and has invested significantly in these sites in recent years. These two locations and the respective logistics providers play a vital role in fulfilling House of Fraser’s warehouse capacity needs.
On April 13th 2016, House of Fraser reported continued growth of online sales (excluding VAT), increasing 26.8% on a like-for-like 52 week basis, representing 18.9% of total sales. Total sales increased by 4.2% on a like-for-like 52-week basis.