Home Depot looks to open $157 million distribution center in Brookhaven

Home improvement giant Home Depot is looking to open a large warehouse and distribution center in Yaphank, with the help of tax breaks.

Brookhaven Logistics Center, an affiliate of Kansas City-based NorthPoint Development, applied in March to bring in Home Depot as a subtenant for a proposed $157 million building. Home Depot has requested tax breaks from the Town of Brookhaven Industrial Development Agency to equip the facility, according to Brookhaven Logistics Center’s application to the IDA.

If the deal is approved, Atlanta-based Home Depot would lease the yet-to-be-built, 414,000-square-foot building for 15 years, according to the application.

The new development would sit on 50.64 acres on the Northern end of a massive swath of land South of the Long Island Expressway, slated to become a warehouse development under a 2021 deal with the IDA.

The developer behind the warehouse project, another NorthPoint affiliate, already secured 15 years of tax breaks for the overall warehouse project, which run through 2037, according to a 2021 IDA resolution and the IDA's 2024 annual report.

The project is part of Home Depot’s "larger, multiyear North American supply chain expansion plan," according to the application, and comes as the company looks to grow its business to serve larger contractors as well as individual consumers.

"Home Depot is making a significant investment in updating their supply chain with state-of-the-art distribution facilities throughout the U.S.," Kevin Reddick, the company’s senior director of tax counsel, wrote to the Brookhaven IDA in the application. "Residents and local construction companies in the region will benefit from an enhanced delivery service of the tools and materials."

The new development is not a done deal; the Brookhaven IDA needs to hold a public hearing on the project first, which has not yet been scheduled, said IDA chief executive Lisa Mulligan.

Home Depot requested sales tax exemptions of around $481,250 to renovate the building once it’s completed, which it estimates will cost $11 million.

If approved, the new center would create an estimated 200 jobs, with salaries ranging from $97,702 per year to $191,127 per year and hourly wages ranging from $23 to $24.50, according to the application.

The project comes as Home Depot looks to expand its business to target larger contractors, said Marius Morar, a managing director at Zelman, who does market research on Home Depot.

Home Depot acquired SRS Distribution, Inc., a massive building products distributor, in 2024 and later bought GMS Inc., a drywall, ceiling and steel framing distributor in 2025, according to new releases from the company. Just last month, it purchased Mingledorff's, Inc., a wholesale distributor of heating, ventilation and air conditioning, according to a news release.

Those acquisitions fit with the company’s strategy of going after larger contractors, beyond just consumers and smaller contractors, Morar said. And it could help the already massive, billion-dollar company grow even more, at a time where residential home renovations have slowed, Morar added.

"They are already serving smaller contractors," Morar said. "But now, as they expand more into broad distribution, they can sell more to larger contractors."