Eighteen more Bunnings stores are set to be established in all of New South Wales over the next three years as the Wesfarmers Ltd (ASX: WES) hardware subsidiary announced on Monday that up to $600 million would be earmarked for its planned expansion in the state.

Bunnings said that central of its accelerated store addition plans is the former Pilkington ACI glass manufacturing site at Alexandria in Sydney, which Wesfarmers is about to acquire from CSR LTD.

The hardware retailer said that it is envisioning the construction of "Australia's largest home improvement and outdoor living store," on the 2.6 hectare site where up to 345 workers would be hired during the construction stage while more than 255 employees would be recruited to staff Bunnings' Alexandria outlet on a permanent basis.

Also, the hardware specialist said that construction of three new stores in Seven Hills, Port Stephens and Chatswood were already underway while new outlets were set to be established at Alexandria, Castle Hill, West Gosford, Tamworth, Lithgow, St Peters and Cromer.

Bunnings managing director John Gillam said that the additional stores planned in NSW is integral to the company's network expansion program underway across the whole Australia as he added that "we are particularly excited about the strength and complementary nature of the sites we have secured which are enabling us to accelerate our NSW opening program."

Mr Gillam said that the 20,000 square metres Bunnings Alexandria would open its doors to customers on the middle part of 2012 as he asserted that the new outlet "will enable us to showcase our ever expanding offer to customers with new categories including kitchen appliances and glass pool fencing and expanded ranges in landscaping and kids play equipment."

All in all, Wesfarmers said that the planned Bunnings store expansions in NSW would lead to the generation of more than 3900 jobs during the construction phase and up to 2700 permanent staffs that would man the additional stores.