Ikea Malaysia will invest RM592 million (US$143 million) on its third store, in Tebrau, Johor.

Expected to open at the end of next year, the store will create more than 300 jobs and thousands of spin-off business opportunities, according to Ikea Southeast Asia MD Christian Rojkjaer.

He says the company chose Johor Bahru because of rapid development taking place there.

Covering about 46,700 sqm, the new outlet will serve more than 1.8 million people in the area.

Ikea expects between 3 and 4 million visitors in the first year, rising to 6 million later.

While close to Ikea Singapore, across the causeway, the two stores are designed to complement each other.