Aldi has opened a distribution centre in Jandakot, Perth, Western Australia (WA), with a $60m ($44m) investment.
Spread across 45,000m², it will serve as a hub for Aldi stores across the region and employ around 400 people.
The company also intends to open up to 20 stores in Western Australia by the end of year.
The first four Aldi stores will open in June, and are located in Mirrabooka Square, Belmont Forum, Lakeside Joondalup and Kwinana, reported Watoday.com.au.
Aldi WA managing director Damien Scheidel was quoted by the website as saying: "We are delighted to be ready for business. This is just the beginning of our long-term investment into Western Australia."
The firm aims to partner with local farmers, manufacturers and suppliers, as part of its expansion strategy.
Last year, the retailer sold grocery products worth $80m ($58.2m) sourced from Western Australia to the eastern states.