Warehouse is Danish toymaker's second planned Virginia facility
A construction worker made of Lego bricks. Photo by Kira Jenkins/Virginia Business
A construction worker made of Lego bricks. Photo by Kira Jenkins/Virginia Business
Warehouse is Danish toymaker's second planned Virginia facility
SUMMARY:
Lego is investing $366 million in a 2 million-square-foot warehouse in Prince George County.
Project will create an estimated 305 jobs.
Facility complements $1 billion Lego factory under construction in Chesterfield County.
Regional distribution center expected to be operational by 2027.
The Lego Group will invest $366 million to build a 2 million-square-foot warehouse, expected to create 305 jobs, in Prince George County, Gov. Glenn Youngkin and the Danish toymaker announced Thursday.
The warehouse and distribution center will be located at 8800 Wells Station Road in the county’s Crosspointe Business Centre, near a former Rolls-Royce facility that manufactured discs for aerospace engines. Construction on the facility will start later this year, and the company expects it to be operational in 2027, according to a Lego news release.
“The Lego Group is not just a household name; it’s a symbol of creativity, innovation and quality that resonates globally,” Youngkin said in a statement. “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.”
The regional distribution center will support the $1 billion, 1.7 million-square-foot Lego facility under construction in Chesterfield County, expected to create about 1,760 jobs once fully operational. Announced in June 2022, the Danish toymaker expects to begin production at the Chesterfield facility in 2027, at least a year later than originally planned.
“Our regional distribution center is a strategic complement to the factory we are currently constructing in Virginia,” Lego Chief Operations Officer Carsten Rasmussen said in a statement. “Both facilities will ensure that we have the manufacturing and distribution capacity to continue to meet long-term growth in the Americas for years to come, while helping to reduce lead times and our environmental impact through a shortened supply chain.”
The Chesterfield factory in the county’s Meadowville Technology Park is Lego’s first U.S. manufacturing facility and its second in North America (the first being in Monterrey, Mexico). The Prince George regional distribution center will be the second in Lego’s Americas network, joining an existing center in Fort Worth, Texas.
Lego signed a build-to-suit lease with Crosspointe Commerce Center, a joint venture between Hillwood Investment Properties and The Silverman Group, according to a news release. A third-party logistics partner will operate the regional distribution center.
The Virginia Economic Development Partnership worked with Prince George County and Virginia’s Gateway Region to secure the warehouse project for Virginia. Youngkin approved a $2.53 million grant from the Commonwealth’s Opportunity Fund to assist the county. VEDP will support Lego through its Virginia Jobs Investment Program, which provides recruitment assistance and cash grant reimbursements for associated human resources costs after a company has had new employees on the payroll for at least 90 days.
VEDP contacted the Prince George County Economic Development Authority a year ago about the project, said Yoti Jabri, the county’s director of economic development and tourism.
“We’re just excited to have another international name in one of our industrial parks,” he said. “It just goes to show you the preparation we’ve taken on as a county for that site to land these type of projects here. We’re just excited and looking forward to the future.”
Lego is also eligible to receive benefits from the Port of Virginia Economic and Infrastructure Development Zone Grant Program, an incentive program to encourage the port’s growth for companies locating new maritime-related employment centers or expanding existing centers.
Founded in 1932 by Danish carpenter Ole Kirk Christiansen, Lego reported 74.3 billion Danish Krone in 2024 revenue, equivalent to about $11.27 billion. It employs more than 31,000 people worldwide, including about 3,000 employees in the United States.
Based in Billund, Denmark, Lego has had a presence in the U.S. since the 1960s, when it entered a partnership with Samsonite to manufacture and market its bricks in the country. In 1973, the company established its American subsidiary, Lego Systems, after the license agreement with Samsonite for the U.S. market was cancelled. The toymaker is moving its U.S. headquarters from Enfield, Connecticut, where it has been since 1975, to Boston in 2026.
P