The retailer posted net sales of $1.51bn for the quarter ended 1 August, down 2.3% from a year earlier.
Net earnings increased 69.4% to $315m from $186m. Diluted EPS rose 70.1% to $1.48.
The 1.5 million-square-foot facility will be located at the Franklin 85 Logistics Center in Carnesville.
The Wesfarmers-owned retailer launched a home-focused store in Melbourne in June under the K Home banner.