Burlington Stores, which operates a location on Route 70 in Cherry Hill, is moving its corporate headquarters from New Jersey to Philadelphia in a $370 million deal.

The relocation ends 54 years in the Garden State. The Fortune 500 retailer, formerly known as Burlington Coat Factory, will leave its Route 130 campus in Burlington Township for 3151 Market St. in Philadelphia's Schuylkill Yards development. The company was founded in Burlington in 1972 and still runs 57 stores across New Jersey, including the Cherry Hill location at 2232 Route 70.

Burlington CEO Michael O'Sullivan said the company had outgrown its current headquarters and spent about a year searching for a new location. He said conversations with Pennsylvania Gov. Josh Shapiro and Philadelphia Mayor Cherelle Parker "played a huge role" in the decision, according to WHYY.

Pennsylvania is investing $30 million in the relocation. Philadelphia is adding $7 million through a forgivable loan, plus tax incentives. Parker said the company expects to relocate about 1,600 employees to Philadelphia, with the potential to grow to 2,000 jobs over five years, according to 6abc. Shapiro called it the largest headquarters relocation to Philadelphia in years.

The move will not begin before the end of 2028 and will follow a phased approach, according to Patch. Burlington has 8,000 associates in New Jersey. The company said a portion will transition to the new headquarters but did not specify how many.

Burlington disputed the idea that New Jersey's business climate drove the decision. The company said in a statement that it continues to open stores in the state and "looks forward to continued warm relations with New Jersey State Government."

South Jersey business leaders saw it differently. Michele Siekerka, president and CEO of the New Jersey Business and Industry Association (NJBIA), pointed to the state's 11.5% corporate tax rate, the highest in the nation according to the NJBIA, citing Tax Foundation data. That rate includes a 2.5% corporate transit fee surcharge enacted in 2024 on top of the previous 9% rate. Pennsylvania's rate sits at 7.49% and is scheduled to drop to 4.99% by 2031.

Christina Renna, president of the Chamber of Commerce Southern New Jersey, called the departure "deeply disappointing" for the business community, according to NJ.com. She said neighboring states are aggressively pursuing businesses with competitive tax structures.

"Pennsylvania's willingness to make a significant investment to attract Burlington demonstrates just how intense that competition has become," Renna said.

The NJBIA also flagged the loss of property tax revenue from Burlington's 441,000-square-foot facility in Burlington Township. How many of the company's 8,000 New Jersey workers will be affected remains an open question.