LEGO Group breaks ground on $366 million Virginia distribution center

LEGO Group announced November 13 it had broken ground on a $360 million distribution center near Richmond, Virginia. The site will be a companion to the company’s nearby under-construction Manufacturing Virginia factory. According to the Danish toymaker, the distribution center will feature a capacity of 200,000 pallets and create 300 jobs to go along with the $1.5 billion factory’s 1,700 new jobs.

In a statement from the Virginia governor’s office, Gov. Glenn Youngkin praised LEGO’s decision to build in Virginia. The new distribution facility is partially funded by the state’s Commonwealth Opportunity Fund, which contributed a $2.53 million grant to the project. The governor’s office statement also noted the distribution center is eligible for benefits from the Port of Virginia Economic and Infrastructure Development Zone Grant Program. Virginia Port Authority CEO Stephen A. Edwards, in a statement, said the Port “is investing in parallel to ensure we can meet the demand that this type of expansion requires.”

Both the distribution site and factory are scheduled to open sometime in 2027.

What people are saying

“Our regional distribution center will strengthen our supply chain network across the Americas, helping us bring LEGO play to more fans and retail partners efficiently and reliably,” Cindy Sikora, VP of LEGO Group Americas Supply Chain Operations, said in a November 13 statement. “We are grateful for the ongoing collaboration we have had with partners across the Commonwealth of Virginia who support our ambition to build this distribution center.”

“The regional distribution center will bring greater flexibility to our network, ensuring we are well positioned to support long-term growth in the Americas," said LEGO Group Chief Operations Officer Carsten Rasmussen. "Together with our future Virginia factory, the RDC will shorten our supply chain in the region – reducing lead times for our customers as well as our environmental impact. We are grateful for the continued support from the Commonwealth of Virginia."

“The LEGO Group is not just a household name, it’s a symbol of creativity, innovation, and quality that resonates globally,”  said Gov. Glenn Youngkin. “Three years after choosing Virginia to establish its U.S. manufacturing plant, the LEGO Group’s decision to expand into Prince George County is an exciting new chapter in this partnership, bringing 305 new, high-quality jobs to the region. As the LEGO Group deepens its roots in the Commonwealth, it’s sending a powerful message: Virginia is a place where global leaders thrive, grow, and succeed.” 

Manufacturers investing in Virginia

CEL Critical Power electronics manufacturer to spend $5.2 million on new Virginia plant
The company manufactures low-voltage power distributers, switchgear equipment and power panels.

Merck breaks ground on $3 billion Virginia plant
The new plant is part of the pharma giant’s push to spend $70 billion in the U.S.

AstraZeneca increases stake, breaks ground on $4.5 billion Virginia pharmaceutical plant
The new factory will produce cancer treatments as well as GLP-1 weight control medicine.