Retailer Poundland has been given the green light to develop a 350,000ft² DC in Harlow to replace the DHL-operated Hoddesdon site.

The DC is due for completion in 2014 and will replace its current temporary site in Hoddesdon, Herefordshire, where all transport operations for the South East are currently being overseen by DHL Supply Chain.

The site of a former Pitney Bowes warehouse on Elizabeth Way will serve as Poundland’s main depot for the south -east, serving up to 300 stores during the peak. It will be approximately double the size of the current Hoddesdon site.

The retailer expects it will create up to 650 jobs, including roles available for staff currently working at Hoddesdon.

The DC will have 37,000 pallet locations, on-site fuel stores and vehicle maintenance workshops.

Poundland’s distribution director Andy Monk said: “The development of this distribution centre marks a major milestone for Poundland, securing our future growth and supporting our expansion plans, both in the UK and in Europe.”

The warehouse will use eco-friendly energy sources, including rainwater harvesting and solar heating for its water supply.

DHL was unavailable to comment on whether it will continue to work with Poundland in Harlow.