Dollar Tree Opens 1 MSF Distribution Center Outside Phoenix

Lincoln Property Co. developed and sold the property last year.

Discount giant Dollar Tree has opened its latest distribution center in Litchfield Park, Ariz., a suburb of Phoenix. The 1.2-million-square-foot facility will soon start shipping merchandise to about 700 Dollar Tree stores in Arizona, Colorado, Nevada, New Mexico and Utah.

The 40-foot-clear-height structure at 7200 North Sarival Ave. has 256 dock-high doors and four grade-level doors. The property is LEED-certified and Foreign Trade Zone-capable, with as much as 12,000 amps of power and steel moment frame shear bracing to support automated racking and picking equipment.


READ ALSO: April 2026 Yardi Matrix Industrial National Report


Dollar Tree acquired the property late last year from Lincoln Property Co., which developed it as part of Park303, a logistics park that totals 210 acres and 3.75 million square feet of industrial space. The discounter paid about $147 million for Building C in September 2025, according to Yardi Matrix.

The property is the discount retailer’s first regional distribution facility in metro Phoenix. At Park303, Dollar Tree joins existing tenant Logisticus Group, a third-party logistics firm leasing the 483,300-square-foot Building B. The other existing building at the logistics park is leased to Walmart.

The logistics park has some unusual features for an industrial property, including elements often only found in office buildings. At Park303, this includes an outdoor pickleball and basketball court, along with an outdoor entertainment area with barbecues, overhead fans and seating for employees.

Dollar Tree plans to open its next distribution center in Marietta, Okla., in about a year. That development represents a return to the community after the previous facility was destroyed by a tornado in April 2024.

The Virginia-based discount retailer operates more than 9,200 stores and 19 distribution centers across the 48 contiguous states and seven Canadian provinces under the brands Dollar Tree and Dollar Tree Canada.

Phoenix industrial market stays hot

Metro Phoenix has one of the strongest industrial markets nationwide, closing 2025 with almost 17.7 million square feet under construction, according to a Yardi Matrix report. The square footage is spread across 100 facilities and represents about 4 percent of total stock, much higher than the 1.7 percent national average for industrial development.

Earlier in May, Lincoln broke ground on Sky Harbor Logistics, a 256,000-square-foot office-to-industrial redevelopment that will create a two-building logistics campus at an infill site in Tempe, Ariz. Completion is slated for spring 2027.

Later in the same month, Taiwan Semiconductor Manufacturing Co. approved a $20 billion injection to its TSMC Arizona project. The investment will advance the company’s $165 billion development plan for the market. So far, TSMC has completed construction on two fabs, with one already reaching high-volume production.