Target is taking on IKEA by making affordable modern furniture under $400

Target is doubling down on furniture.

On October 10, the retailer announced that it will team up with design and lifestyle brand Dwell to put out a line of affordable, minimalist, modern furniture.

The collection, called "Modern by Dwell Magazine," features furniture pieces ranging from $49.99 to $399.99 and decor pieces from $17.99 to $49.99. Dwell's usual furniture offerings - while painstakingly well designed - often run in the thousands of dollars.

According to Fast Company, the 120-piece collection includes a minimalist bookshelf, LED pendant lights, upholstered pouf ottomans, lounge chairs, hand-tufted wool rugs, and much more that hasn't been announced yet.

The collection will go on sale December 27 at Target and Target.com.

The line's aesthetic was inspired by the modern movement, which features flat or monochrome colors, little use of wood textures, organic or rounded shapes, and an emphasis on function.

That style, along with the low price point, will put Target and Dwell on a competitive playing field with furniture giant IKEA, which has relied heavily on the modern look throughout its history. Target's partnership with Dwell could even give it a unique edge over IKEA's catalog, since the new line makes designs that would ordinarily be reserved for high-end pieces available to consumers who don't have thousands to spend.

The collaboration is also likely to be as big a brand-building opportunity for Dwell as it was for Faribault Woolen Mills, Marimekko, and TOMS - which have all created designer partnerships with Target as well.