The firm will occupy a 2,500 sq ft warehouse at Beech Avenue Business Park in Harrogate.
The business launched in April 2012 and made a £1m turnover in its first year of trading.
The company’s managing director, Richard Grafton, said: “Our client list and project scale is growing, so having our own warehousing is a natural next step as we grow the showroom and interiors businesses.
“The extra capacity will ensure we can be more flexible with delivery during time-sensitive projects, improving our service to clients, as well as providing workshop space to custom finish certain bespoke items.”
The group sources its range of interiors, lighting and accessories from around Europe.
“Our range is always growing as we work hard to bring high quality, unusual items to our customers and this facility will ensure we are able to rotate seasonal stock more effectively,” said Mr Grafton.
The retail and commercial interior design business has grown rapidly since its launch last year.
The firm recently completed a £50,000 investment in redesigned and refurbished room sets at its three-storey showrooms on The Ginnel in Harrogate’s Montpellier Quarter.
Last September it bought Harrogate-based interior design business, Janet Sandles Interiors.
In December it joined forces with interior installations contractor Andrew Freestone to launch a new joint venture firm called Grafton Freestone.
The new firm carries out bedroom, bathroom and wet room design and project installations for Richard Grafton Interiors.
The new warehouse facility will initially employ two new staff based in Harrogate, taking the total employed to 10.
The company plans to keep growing its team as the business expands further during 2013.