Online retailer Ocado has exchanged contracts this week for a new £200 million distribution centre in Warwickshire.

The new facility – which will be built at Birch Coppice Business Park, in Dordon, near Tamworth – will create more than 2,000 jobs and will allow Ocado to expand its coverage.

Tim Steiner, chief executive officer of Ocado, said: “We are delighted to have secured an outstanding site.

“Ocado is growing rapidly across the country and this location ensures we will have capacity to provide more customers with the leading online grocery offering.”

Work is due to begin immediately and bosses hope to open the facility by the end of 2012.

The new 350,000 sq ft centre will be capable of approximately 120,000 orders per week - increasing to 180,000.

The business park, which is housed at the former colliery site, is already home to distribution giants UPS and CEVA and in 2006 became the chosen location for Birmingham Intermodal Freight Terminal.