Safavieh adds warehouse space in Pa. to accommodate growth

Furniture Today Staff -- Furniture Today, July 23, 2012

PORT WASHINGTON, N.Y. - Area rug, soft goods and accent furniture source Safavieh has acquired a 300,000-square-foot facility in Easton, Pa., doubling its warehouse space there.
     Safavieh said it will continue to ship from its existing 320,000-square-foot facility in Easton as well as a 250,000-square-foot warehouse in Allentown, Pa. In a press release, the company said the added capacity is necessary to maintain appropriate levels of stock for quick-ship delivery after sales gains last year and so far this year, and to prepare for expected growth.
     Safavieh attributes its recent sales growth partly to its expansion into lower-end rugs to target new distribution channels, including big box stores and warehouse clubs.
     "We have experienced significant sales increases since the introduction of power-loomed and hand-tufted rugs, as well as several rug qualities designed for indoor and outdoor use," said Cyrus Yaraghi, a principal at Safavieh. "The new facility will allow us room to expand our current rug offerings with even more diversity in 2012."
     The company also noted continued growth in its furniture division, launched in January 2006. Safavieh's furniture offerings now include occasional seating and accent pieces as well as outdoor furniture.
     Safavieh also has warehouse facilities in or near Antwerp, Belgium; Fontana, Calif., and Port Washington, N.Y., bringing total warehouse space to 1.14 million square feet.
     Safavieh drop-ships product to end-use customers on behalf of retailers in the United States, Canada, South America, Europe and Asia. Warehouse stock levels provide immediate delivery on more than 1,000 programmed rug designs, each in more than eight sizes and several color schemes. In furniture, 500 SKUs are stocked for quick shipment.