IKEA drops plans for second store in Phoenix area

PHOENIX — Furniture giant IKEA announced it has dropped its plan to build a second store in the Phoenix area.

The store, which was originally announced in September 2017, will not be built near the Loop 101 and Bethany Home Road in Glendale, next to University of Phoenix Stadium.

It was expected to open in spring of 2020.

At the time, IKEA said it would hire about 500 construction workers to build the store and another 300 to work inside it.

Citing that the company is looking to expand to more urban city centers in order to be more accessible to customers, IKEA is changing some of its expansion plans.

“We are in a rapidly changing retail environment. To be fit for long term growth, we are creating a new business model to make sure we’re accessible and convenient for our customers today and in the future,” IKEA senior public affairs specialist Latisha Bracy said in an email.

“While this is an extremely difficult decision, we will not be moving forward with our plans to build a store in Glendale. We appreciate the outpouring of support and excitement that our fans have expressed, and we are disappointed that we will not be able to physically join the vibrant Glendale community.”

It could serve as a big blow to Glendale’s economy as Glendale City Manager Kevin Phelps said back in September that lawmakers believed the new IKEA would be a catalyst for a number of businesses and private investment coming into Glendale.

Founded in 1943, IKEA has more than 400 stores in 49 countries.

The international chain’s first Arizona store opened in Tempe in 2004.

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