The headquarter switch from Malmesbury, Wiltshire, is likely to prove controversial.
The factory is scheduled for completion in 2020.
It has invested £50 million on research - but will customers spend £299 on hot air?
Dyson developed a prototype 'wearable computer' strikingly similar to Google Glass in 2001, but decided to scrap the project.
Engineering firm Dyson is set to create 3,000 new jobs as part of a £250m investment in research and development.
The firm, headed by inventor Sir James Dyson, is applying for planning permission for a new centre to open in 2016 alongside its headquarters in the Wiltshire town of Malmesbury.
Although the company plans to hire 1,000 new engineers over the next three years, Sir James said they need 400 "right away" to fill existing vacancies.
British technology firm Dyson today accused its German rival Bosch of planting a mole in its high-security research and development department for as long as two years.
Dyson founder Sir James Dyson filed proceedings at the High Court claiming a Chinese employee at its research and development centre in Malmesbury, Wiltshire, was giving company secrets to Bosch.
Bosch, which has its UK headquarters based in Middlesex, declined to comment.