Bosses at Toys "R" Us have confirmed that a deal has been agreed to build a major logistics hub in France.

The 517,000 sq ft distribution centre will be erected to the south of Paris at Saint-Fargeau-Ponthierry, according to Logistics Manager.

It will be used to supply all of its French stores and will consist of a large storage area and cross-dock building.

Construction work is set to start in the second quarter of 2014 and the site - which will also contain 3,000 sq m of office space - will be handed over to the toy retailer at some point in 2015.

This is yet another example of a company looking to build large warehouses in order to cope with the ecommerce boom and there is a general shortage of sizeable logistics facilities across Europe.

Toys "R" Us revealed earlier this month that net sales dropped by 7.8 per cent in the first quarter of 2013 when compared with the corresponding period in 2012, although bosses have high hopes for the future and the company plans to expand into China and south-east Asia.