Poundland has sought planning permission to construct a 300,000 sq ft distribution centre at the South Lancs Industrial Estate in Ashton-in-Makerfield, near Wigan.
The site was selected by the variety store chain over two other areas in the north-west - and the facility has the potential to create up to 800 jobs in the region.
Councillor David Molyneux, Wigan Council's cabinet member for economy, said competition for the site was intense, but he is pleased to welcome Poundland to his town.
He noted that Wigan is conveniently situated for access to major cities in the north-west, being at the heart of the motorway network between Manchester and Liverpool.
"This will be the largest single employment-creating application that we have dealt with since the authority was formed in 1974 and in my view would rank alongside Heinz coming to Wigan in the 1950s," Mr Molyneux remarked.
Poundland is the largest single price value retailer in the UK, with turnover in excess of £1 billion.