The Swedish flat-pack giant gained planning at the end of March after scaling the project down from a three floor 409,000 sq ft store to a 335,000 sq ft shed over two levels.
While the smaller Reading store at Calcot does not represent a new format for Ikea in the UK, the retailer is testing new concepts in Europe called Ikea Citystore, which deliver a 194,000 sq ft smaller urban format.
Demoltion of Homebase and Carpetright in the Berkshire retail park in Princents Lane has been completed to make way for the IKEA store.
Architect SRA designed the scheme, which will include a large three-storey car park and Farnham-based Natta Building is believed to be in the running to deliver the groundwork package after working on a similar project for IKEA in Southampton.