SEGRO V-Park Grand Union will deliver 134,500 sq ft of light industrial space over six storeys The development forms part of Grand Union, a vibrant new canalside neighbourhood of over 3,000 homes being delivered by St George located in Alperton, close to Park Royal St George, a leading mixed use
Waterloo have strengthened their product offering by replacing their displacement range with the full portfolio of Swegon displacement products. By integrating a range of airborne products from the Swegon group, the supplier of air terminal devices can deliver the widest range of room unit products in the UK market. The new range of displacement terminals are made to effectively
Significant new project will see development of two new speculative logistics/warehouse units of 149,000 and 41,000 sq ft… GMI Construction has announced that it has been instructed by leading logistics development company Tritax Symmetry to develop a huge new speculative logistics/warehouse scheme at a site in Middlewich known as MA6NITUDE.
MCM Group is delighted to announce that Unit 12, a 38,000 sq ft warehouse at Felnex Road off Pontefract Lane, Leeds, is to be redeveloped creating a new high specification, industrial property suitable for use as a storage and distribution facility or trade counter. Planning permission has just been granted
Panattoni, the largest industrial real estate developer in Europe, has signed a lease agreement with UPS, one of the world’s largest package delivery companies, for a 280,700 sq ft speculatively developed facility at Bolton. UPS has signed a 10-year lease for the largest of the two facilities at the 360,700
The respected, proven DeckProtect+ range of coatings from StructureCare features in the car park at St James Quarter, Edinburgh’s largest development in a generation. Working as a specialist subcontractor to Laing O’Rourke, StructureCare has successfully completed a contract applying liquid applied deck coatings and wayfinding to the three-storey parking structure
Regeneration of the former British Celanese site set to create thousands of jobs Initial occupation of the innovative food production hub – SmartParc SEGRO Spondon – early 2022 The final step has been achieved to enable the 1.85m sqft, high-tech food manufacturing and distribution campus on the 112-acre former Celanese
Network Space has revealed its plans for the redevelopment of the former Cartwright headquarters on Atlantic Street in Altrincham, Greater Manchester. Re-branded as Broadheath Networkcentre, the proposals include a mixture of high quality refurbishment alongside new builds, creating a modern, multi-let industrial site which will appeal to a variety of
The North-West office of family run business, Caddick Construction, has been appointed by Redsun to deliver AVIATOR Phase II, which comprises two new build warehouses with integral mezzanine offices. Caddick Construction successfully completed phase one in February last year, delivering a 125,000 sq ft warehouse which was let to Survitec
c.£1 billion investment will deliver a c.8 million sq ft new logistics hub with new Strategic Rail Freight Interchange in prime midlands logistics corridor Oxford Properties Group (“Oxford”), a leading global real estate investor, asset manager and business builder, and Logistics Capital Partners (“LCP”), a best in class developer and
SEGRO V-Park Grand Union will deliver 134,500 sq ft of light industrial space over six storeys The development forms part of Grand Union, a vibrant new canalside neighbourhood of over 3,000 homes being delivered by St George located in Alperton, close to Park Royal St George, a leading mixed use developer in London and member of the Berkeley Group, and SEGRO, the leading owner and developer of warehouse space, have formed a 50:50 joint venture to bring forward their first urban multi-storey industrial development in the UK as part of a major mixed use neighbourhood at Grand Union being delivered by St George in Brent, North West London. The pioneering development will provide 134,500 sq ft of flexible light industrial space over six storeys and support up to 500 jobs and apprenticeships. The industrial development, to be called SEGRO V-Park Grand Union, is an innovative new concept for delivering multi-storey light industrial property and is designed to maximise employment space and accessibility on the 1.7-acre plot. The concept fully supports the aspirations in the GLA’s new London Plan to intensify industrial land, delivering jobs and homes as part of the regeneration of a wider brownfield site. It forms part of Grand Union, a new canal-side destination which is being delivered by St George. The 22-acre former derelict Northfields Industrial Estate is being transformed into a vibrant new mixed-use neighbourhood in Alperton compromising 3,350 homes, 35% of which will be affordable with first residents being welcomed later this year, delivering much needed homes and jobs to the London Borough of Brent. Grand Union will provide 10.2 acres of publicly accessible landscaped gardens, a net biodiversity gain of 240%, community centre, health centre, local supermarket and a range of onsite amenities. The new neighbourhood will also open up previously inaccessible parts of the Grand Union Canal and River Brent to the local community, creating improved routes around Grand Union and to nearby Stonebridge Park Station. Within SEGRO V-Park Grand Union, the ground and first floors will be utilised to provide over 100 parking spaces, with electric vehicle charging points also being incorporated. The flexible industrial space is arranged over four upper levels which can be configured as up to 20 individual units offering a range of sizes, supported by shared meeting rooms, breakout areas and wellness spaces, including a green roof terrace. The development will incorporate sustainability features such as photovoltaic cells and an internal green wall. Construction is expected to begin in Summer 2022. SEGRO V-Park Grand Union expands SEGRO’s footprint in North West London. It is located close to Tudor Estate and Premier Park at Park Royal and will front onto the North Circular (A406), providing excellent connectivity to the M1 and M25. Piers Clanford, Managing Director, St George Plc, said: “Grand Union has been carefully designed with the local community to create an exciting new canalside neighbourhood, delivering high quality homes and vital jobs offering a wealth of amenities and uses within beautiful public spaces. SEGRO V-Park Grand Union is a key part of the redevelopment of this complex brownfield regeneration site in bringing even further opportunity for job creation, aligning with the Borough of Brent and the GLA’s ambitions. We look forward to working with SEGRO on this exciting project.” Alan Holland, Managing Director, Greater London at SEGRO, said: “SEGRO V-Park Grand Union is a new model for delivering much-needed light industrial space as part of mixed-use communities. “We are strong advocates for multi-storey warehousing in some urban settings given the pressure on land supply and the need to create space that supports different types of employment. We have successfully delivered multi-storey logistics at scale in Paris and now have the opportunity at Grand Union to adapt this format for a smaller urban site. “This regeneration project is a template for how to revitalise under-utilised industrial land to deliver much needed housing and jobs and we look forward to working with the GLA, London Borough of Brent and St George to bring forward these exciting plans.” Councillor Shama Tatler, Lead Member for Regeneration, Property and Planning at London Borough of Brent, said: “SEGRO V-Park Grand Union is a welcome addition to the borough. Not only will it support hundreds of new jobs during its creation, but it will also provide high quality industrial floorspace suitable for operating in the light industrial industry. V-Park will attract a range of occupiers – from start-up to more established businesses. “Later this year we will be welcoming our first residents to Grand Union as part of our partnership with St George and we look forward to seeing them settle into their new homes as the development transforms into a thriving place to live, work and connect.” Jules Pipe, Deputy Mayor for Planning, Regeneration and Skills at the Greater London Authority, said: “SEGRO V-Park Grand Union is a very welcome, innovative approach to industrial intensification that will form part of an exciting new mixed-use development in London. The development will provide high quality homes, whilst creating much needed industrial workspace for a rich variety of small businesses that will create hundreds of jobs in the community. We are looking forward to SEGRO and St George delivering a new, vibrant, mixed-use scheme that will bring affordable homes and jobs to Brent”.
Waterloo have strengthened their product offering by replacing their displacement range with the full portfolio of Swegon displacement products. By integrating a range of airborne products from the Swegon group, the supplier of air terminal devices can deliver the widest range of room unit products in the UK market. The new range of displacement terminals are made to effectively discharge air at low velocity to ensure good comfort in rooms. In large spaces such as airports, theatres, factory floors, open offices, and supermarkets where a traditional mixed system can fall short; using a displacement system can have significant advantages on indoor air quality and efficiency. Rooms with high ceilings can benefit from substantial energy savings by installing the displacement terminals with Varizon®, as only the occupied zone needs to be cooled from the low level of displacement installation. Added to the lower pressure drop associated with displacement ventilation terminals, selection of smaller and slower fans is possible for a reduction in fan energy. The supply air temperature is higher for displacement systems (circa 18°C) than for an overhead mixing system (circa 14°C), meaning there is greater access to free cooling throughout the year, thus improving chiller efficiency. In general, the higher the space, the greater the payback, as consideration for cooling the whole space is not required. Another benefit of displacement is the increased hygiene factor. New air is directed straight into the occupied zone, and old air rises to be extracted through the ceiling, meaning increased ventilation effectiveness. Working on the principles of buoyancy and stratification, air is effectively supplied at low velocity to involve minimal mixing. By so doing, airborne pollutants lighter than air rise above the breathing zone, meaning the air quality in the occupied zone is superior to that achieved with mixing ventilation. Waterloo have introduced 11 models, the majority of which are complete with Swegon’s Varizon® system: offering one of the best levels of user comfort at close range on the market. The terminal can be set to move the near zone away from critical areas reducing the risk of draughts. This can be particularly effective in conference rooms with high occupancy & minimal space. The nozzles can also be readjusted after commissioning in instances of office restructure & occupant relocation. By integrating selected airborne products from the Swegon group, Waterloo is now in the position to offer the widest range of room unit products on the UK market. www.waterloo.co.uk rachel.roots@waterloo.co.uk
Significant new project will see development of two new speculative logistics/warehouse units of 149,000 and 41,000 sq ft… GMI Construction has announced that it has been instructed by leading logistics development company Tritax Symmetry to develop a huge new speculative logistics/warehouse scheme at a site in Middlewich known as MA6NITUDE. Infrastructure works are well underway on the Cheshire East development site which will see the construction of two units of 149,000 and 41,000 sq ft respectively. Both units will be net zero carbon in their construction and when complete, 15% of the roofs will be fitted with solar panels with the ability for the roofs to be fully covered in photovoltaic panels at a future date. Speaking about the instruction, Marc Banks, Divisional Managing Director at GMI Construction, said: “We are delighted to be working with Tritax Symmetry to deliver these important new facilities in Middlewich. Our team has made an excellent start and the site is already taking shape to what will eventually be a first-class sustainable building that will be a huge business asset to the area.” Also commenting David Nuttall, Development Director at Tritax Symmetry, said: “We are excited to see spades go in the ground here at MA6NITUDE and bring forward high quality facilities at a time when demand for space is at record levels. “There is a huge amount of activity happening across the site, with Swizzels’ facility also due to complete next year and detailed planning submitted for 238,000 sq ft of space at unit 41 which could also be delivered before the end of 2022.” Jonathan Atherton, Director at Savills, joint letting agents for the scheme with B8RE and Legat Owen, added: “The development at MA6NITUDE will provide much needed floor space to a market when supply is falling at its fastest ever rate. The location and quality of the units are expected to attract strong occupier interest.” This scheme is being delivered by GMI’s expert operations team including Project Manager, Dan Meadowcroft, Site Manager, Rebecca Shiels, Site Engineer, James Rushton, and supported by Construction Director, Anthony Judge. For further information about the development visit: https://ma6nitude.com/
MCM Group is delighted to announce that Unit 12, a 38,000 sq ft warehouse at Felnex Road off Pontefract Lane, Leeds, is to be redeveloped creating a new high specification, industrial property suitable for use as a storage and distribution facility or trade counter. Planning permission has just been granted for the building to be completely stripped back to its frame and reformatted. In order to maximise the 1.68-acre site, the footprint of the original property will be reduced to 28,537 sq. ft which in turn will provide additional yard space and parking areas. North East-based property investment company MCM Group, which acquired the site earlier this year, has been working with Carter Towler’s Industrial Agency team and S&SA Architects designing a redevelopment scheme that would maximise the potential of the existing building and land. Commenting on the scheme, MCM Group’s Investment Director Douglas Cranston said: “We are really excited to see this project get underway and complete an extensive refurbishment that will future proof such a well-located asset. The initial demolition work has now started on site and Walter Thompson Contractors will commence the rebuild. We are aiming for the new property to be ready for occupation early in the New Year. “We are keen to expand our property portfolio and were particularly interested in investing in Cross Green. This area just to the east of Leeds city centre is flourishing with leading businesses including Amazon, DHL, CEF, Euro Car Parts, Premier Farnell, Fedex, John Lewis, Symingtons and BCA but there is a marked shortage of medium-sized industrial properties which we hope to help address.” Carter Towler’s Industrial Agency Director Josh Holmes added: “While we have been advising MCM Group on the reformatting and marketing of the site we have received a number of very promising enquiries from potential occupants. We are confident given the high-quality refurbishment being undertaken and roadside prominence of the site that we will secure an occupier before it’s completed in January.” Tom Goode, Associate with the industrial property team of Knight Frank in Leeds, concluded: “Felnex Road will provide some much needed high quality stock to address the current supply and demand imbalance in West Yorkshire. Located between J45 of the M1 and Leeds city centre, the building occupies a prime and prominent position fronting Pontefract Lane and will appeal to both trade counter and logistics occupiers alike”. Felnex Road is located directly off the A63 close to junction 45 of the M1 and just 1 mile east of Leeds city centre. Tom Goode and Iain McPhail at Knight Frank in Leeds have been appointed as joint marketing agents.
Panattoni, the largest industrial real estate developer in Europe, has signed a lease agreement with UPS, one of the world’s largest package delivery companies, for a 280,700 sq ft speculatively developed facility at Bolton. UPS has signed a 10-year lease for the largest of the two facilities at the 360,700 sq ft Panattoni Park Bolton, which has a BREEAM sustainability rating of ‘Very Good’ and an EPC rating of ‘A’. The facility, which has a 15m clear internal height, 24 dock doors and five-level access doors, was completed in September. It is expected that more than 280 jobs will be created. The first unit of 80,000 sq ft was pre-let in January to Hermes Parcelnet, one of the UK’s largest parcel delivery companies. Panattoni Park Bolton is close to junction 6 of the M61, providing easy access to the key ports of Liverpool to the west and Hull to the east; the M6 is less than 15 minutes drive, providing access to Scotland, the wider north west and the Midlands. Dan Burn, Development Director for the North West and Yorkshire at Panattoni, said: “Panattoni Park Bolton is the only development of its size and scale to have been built in Greater Manchester this year. The fact that we have let the two units to two global delivery companies reflects their confidence in this region. “The town has the second highest employee base in Greater Manchester, yet with wages below the regional average labour costs remain attractive, as does the good mix of skills among the workforce. Employment in the logistics sector is considerably higher than both the regional and national average”. DTRE, Savills and Knight Frank were the letting agents and TSL Projects was the contractor.
The respected, proven DeckProtect+ range of coatings from StructureCare features in the car park at St James Quarter, Edinburgh’s largest development in a generation. Working as a specialist subcontractor to Laing O’Rourke, StructureCare has successfully completed a contract applying liquid applied deck coatings and wayfinding to the three-storey parking structure which comprises 1,600 parking bays. The car park is part of the 1,700,000 square foot St James Quarter, one of the most significant city centre transformations currently underway in the UK. It is a new quarter for the city, with a stunning new shopping galleria housing 80 new brands and an enticing mix of restaurants and bars already completed, with a luxury W Edinburgh, a boutique Everyman Cinema and a Roomzzz Aparthotel still underway. A key factor in the award of the contract to StructureCare is the company’s unique position within the sector as both a manufacturer and installer of car park deck coating systems. It has led to StructureCare’s highly skilled operatives installing 48,907m2 of DeckProtect+ deck coatings throughout all levels of the car park, with an additional 2,825m2 of DeckProtect+ being applied at the entrance and exit of the car park. Ryan Williams, Business Development Manager for StructureCare, explained “We undertook additional surface preparation and sacrificial coating works to ensure the concrete decks met with our client’s expectations. This was one of the biggest building projects in Europe and our operatives worked in and around other trades. The works were paused due to Scottish Covid restrictions with the closure of all building sites. We are obviously proud of the work done by our team in helping to makes St James a much-valued addition to a wonderful, vibrant city”. The DeckProtect+ range delivers outstanding aesthetic qualities as well as excellent performance and durability. Armed with the market leading range, StructureCare is able to deliver a high-quality solution to meet any car park challenge. More information on the DeckProtect+ range is detailed in StructureCare’s new technical brochure, “Versatile & Innovative Deck Coating Systems for Car Park Structures” which can be downloaded from the website www.structurecare.com
Regeneration of the former British Celanese site set to create thousands of jobs Initial occupation of the innovative food production hub – SmartParc SEGRO Spondon – early 2022 The final step has been achieved to enable the 1.85m sqft, high-tech food manufacturing and distribution campus on the 112-acre former Celanese site near Spondon to proceed. SmartParc has announced SEGRO as its development partner. SEGRO will work with SmartParc to create a new asset class dedicated to ‘state of the art’ food manufacturing and distribution. SmartParc SEGRO Spondon paves the way for the food industry to collaborate to meet the challenges of sustainable production whilst addressing the need for efficient direct routes to consumers. As development partner, SEGRO will provide a multi-million-pound investment to regenerate the brownfield site.. SmartParc will provide the onsite managed services, supporting the food community to increase production efficiency and drive reduced operational costs through collaborative working. SmartParc’s revolutionary energy sharing infrastructure will utilise wind and solar combined with central services, to deliver the most sustainable food production community in the country. The announcement of the partnership follows Derby City Council granting planning permission in June and the agreement of grant funding contributions from D2N2 Local Enterprise Partnership and Derby City Council. D2N2 Local Enterprise Partnership has allocated £12 million towards the project from the Government’s Getting Building Fund – the largest single allocation from D2N2’s £44 million allocation. SmartParc was founded to address the challenges facing the food sector. The 1.85m sqft collaborative hub at Spondon represents a pioneering technical breakthrough. It will provide food manufacturing facilities ranging from start-up incubation units through to large-scale manufacturing facilities ranging from 50,000 – 400,000 sqft. The site will also be home to a Food Manufacturing Technology Centre of Excellence to future-proof the food industry, offering education and career opportunities to secure both the local and global food supply chains. SmartParc will provide a new sustainable blueprint for the food industry. Climate change has highlighted the need for far-reaching industry change and, in response, SmartParc will re-engineer current food manufacturing and distribution processes. It will create a new, forward-thinking ecosystem of food production, looking towards new technologies such as vertical farming to disconnect weather from our ability to produce sustainable food. This mission begins with SmartParc SEGRO Spondon as the flagship site. Building on Spondon’s heritage as a site of cutting-edge engineering, SmartParc will create 5,000 direct jobs and enable a new collaborative, flexible work model to accommodate people’s evolving lifestyles with the ambition of reconnecting the local community to food production. SmartParc SEGRO Spondon will be home to the first low-carbon food manufacturing community. A central distribution hub to consolidate goods in deliveries will streamline the distribution chain, providing a reduction in cost for occupiers whilst improving sustainability by eliminating food miles. From design and material selection to support for eventual occupiers, SmartParc and SEGRO will help to ensure excellent environmental performance and bold efficiency gains at the ground-breaking site. Jackie Wild, SmartParc CEO said: “We are delighted to announce SEGRO as our development partner as we work towards our goal of building the first world-leading, sustainable, high-tech food manufacturing and distribution campus at SmartParc SEGRO Spondon.” “Our partnership with SEGRO and the continued support of D2N2 Local Enterprise Partnership and Derby City Council will enable us to bring jobs to the region and address the increasingly critical challenges facing food manufacturing supply chains.” “We want to thank everyone involved in realising this vision in record time. From the first walk around site in May 2020 to starting on site in September 2021- it shows what can be achieved when everyone pushes in the same direction with a shared agenda.” “The creation of this dedicated asset class is pivotal in achieving a more sustainable future for food production and giving a framework for the food industry to build upon. We want to embrace Derby’s engineering heritage to ensure that SmartParc is the home of the next food revolution. We already have a significant level of interest from manufacturers and retailers both from the UK and overseas and we are starting work immediately so we can welcome our first ‘collaborators’ to SmartParc early next year.” Andrew Pilsworth, Managing Director, National Logistics at SEGRO, added: “SmartParc’s bold new concept for food manufacturing and distribution has the potential to be a true game-changer. Over the last 18 months we’ve seen the importance of having robust supply chains closer to home and being able to quickly and efficiently distribute goods. SmartParc enables both of these within the vital food and drink sector and does so while keeping sustainability at its heart. We look forward to working together to make the concept a success.” “By backing innovative projects like this one, we are levelling up areas across the country by building stronger and more resilient local economies, which can support jobs and prosperity in our communities.” Councillor Chris Poulter, Leader of Derby City Council commented: “We are delighted with the progress so far in the SmartParc scheme”. “The project is hugely welcome in Derby, fitting perfectly into our aims to boost our economy and job market and to further diversify the city.” “The thousands of new jobs that will be created is a fantastic prospect and we look forward to seeing the partnership between SmartParc and SEGRO develop to achieve this.” Chris Radlett, Vice President of Manufacturing for Celanese also said: “Celanese is pleased to have worked closely with local and regional authorities and the developers, to provide our site to help create jobs and enable more sustainable food production. This is a fitting next step for the site and we look forward to welcoming our new neighbours.” With further comment from D2N2 LEP Chair, Elizabeth Fagan CBE: “Food and drink manufacturing is a key investment priority for our region. The LEP’s £12 million investment will support the creation of a world-leading sustainable food-manufacturing facility that will deliver pioneering innovation, create thousands of jobs and transform the local economy.”
Network Space has revealed its plans for the redevelopment of the former Cartwright headquarters on Atlantic Street in Altrincham, Greater Manchester. Re-branded as Broadheath Networkcentre, the proposals include a mixture of high quality refurbishment alongside new builds, creating a modern, multi-let industrial site which will appeal to a variety of businesses. The development will deliver 196,000 sq ft of accommodation across eight buildings, with workspace available from 2,100 sq ft to 28,000 sq ft. A sustainable development, Network Space will seek to reuse and recycle existing structures and is proposing the use of photovoltaic panels for renewable energy provision, as well as electric vehicle charging on all units. Simon Eaton, senior development manager at Network Space, explains: “Given its location within South Manchester and proximity to Manchester Airport, the M60/M56 and city centre, Broadheath Networkcentre will appeal to a wide range of occupiers, from local businesses and trade occupiers, to last mile and urban logistics firms. “The development has also been designed with sustainability at the top of the agenda and, by recycling existing steel frames and concrete structures, we are able to significantly reduce the carbon footprint of the scheme. This, in addition to the renewable energy generation and re-use on site, means that Broadheath Networkcentre will score very highly in its green credentials.” A planning application has been submitted and Network Space hopes to start on site early next year, with some of the high quality refurbished units being ready for occupation in summer 2022 and new builds by the end of the year. The development will revitalise the site, creating new jobs and providing much needed speculative workspace in the region. Jonathan Williams at Savills and Will Kenyon at B8 have been appointed as letting agents for Broadheath Networkcentre. The wider professional team includes Walker Sime, project management and quantity surveying, AEW architects, Tetra Tech engineering services and Spawforths is the planning advisor.
The North-West office of family run business, Caddick Construction, has been appointed by Redsun to deliver AVIATOR Phase II, which comprises two new build warehouses with integral mezzanine offices. Caddick Construction successfully completed phase one in February last year, delivering a 125,000 sq ft warehouse which was let to Survitec Group on a 20-year lease just after reaching practical completion. It was subsequently acquired by Arrow Capital Partners, who will be funding Phase II of the Development as part of its €3bn Strategic Industrial Real Estate (SIRE) joint venture with Cerberus. This latest phase responds to the significant rise in demand for quality industrial accommodation and will see two warehouses of 200,000 sq ft and 80,000 sq ft delivered, alongside service yard, parking and landscaping, on a 15-acre plot. The Caddick Construction team will start on site next month, with completion expected in summer 2022. The client, Redsun, is behind the AVIATOR project, which will ultimately provide up to 450,000 sq ft of industrial space. The popular site is already home to DHL, Jaguar Land Rover and Vauxhall Motors assembly plant. Nick Wightman, director at Redsun, said: “We worked collaboratively with the Cheshire and Warrington LEP on the first phase and it was a huge success. This second phase will help plug the chronic gap in high quality stock in the region. This thriving location, close to the motorway network, will appeal to both occupiers and investors.” Ian Guildford, contracts manager at Caddick Construction, said: “The first phase of development was a huge success and the team is delighted to be working with Redsun again. It is testament to our vast experience in delivering high quality industrial premises and we looking forward to starting the two warehouses next month.” Located off North Road, the 22-acre site forms part of the Cheshire Science Corridor and benefits from the enhanced capital allowances towards fit out costs offered by its Enterprise Zone status. Just five miles from Junction 12 of the M56, 24 miles from the M6, AVIATOR is also within easy reach of Liverpool Superport and Manchester Airport. The project team includes Fletcher Rae Architects, Muir Associates and Crookes Walker Consulting. B8 Real Estate and M1 Agency are joint letting agents. The Caddick North West team employs more than 70 staff and operates from offices in Warrington and Cumbria. The team has successfully delivered a range of projects including the £154m Angel Gardens’ Scheme in Manchester, a flagship car showroom at TraffordCity, Liverpool Shopping Park and a range of industrial developments including Mere Grange and Central 23 in Merseyside on behalf of Network Space.
c.£1 billion investment will deliver a c.8 million sq ft new logistics hub with new Strategic Rail Freight Interchange in prime midlands logistics corridor Oxford Properties Group (“Oxford”), a leading global real estate investor, asset manager and business builder, and Logistics Capital Partners (“LCP”), a best in class developer and asset manager of logistics real estate across Europe, have formed a new co investment joint venture, to acquire a 734-acre site near Birmingham, which they will develop into a major new logistics hub with associated rail freight terminal known as West Midlands Interchange. Oxford and LCP will jointly invest c. £1 billion to bring forward the project over a number of years, with Oxford providing the majority of the capital and working alongside LCP’s highly experienced and professional team as development manager. West Midlands Interchange will be a technologically advanced and environmentally sustainable development which meets modern occupiers’ efficient operational and environmental requirements. Planning consent has already been secured by the vendors, which allows for the delivery of around 8 million sq ft of prime logistics space and provides flexibility around the project timeline and scale of units. Infrastructure works are expected to commence in the first half of next year with the first buildings starting on site in 2022 ready for occupation in 2023. The site can accommodate new warehouses ranging in size from 200,000 square feet to over 1 million square feet, with building heights up to 30 meters. This scale and flexibility will create space for some of the most efficient operations in the country, maximising cubic storage capacity and the possibility for occupiers to deploy the latest technology. West Midlands Interchange is centrally located in the UK, northwest of Birmingham in the key West Midlands logistics corridor and will deliver significant economic benefit to the region through the creation of 8,500 jobs and a further 8,100 indirect jobs. It is also expected to generate around £430 million of local economic activity each year, and, through the supply chain, create over £900 million of economic activity each year nationally. It benefits from excellent transport connectivity to the UK’s major cities, ports and airports, with immediate access to the M6 motorway allowing 88% of the population to be reached within a four-hour drive, well inside the HGV single trip limit. As part of wider infrastructure improvements, Oxford and LCP will build a new link road to connect the A5 and A449, enhancing the resilience of the local road network to improve access to the site and achieve additional public benefit. In addition, the project will create a new Strategic Rail Freight Interchange, which will provide intermodal access for occupiers. This gives the site a significant competitive advantage, with rail transport a cheaper and more environmentally sustainable option while also reducing congestion on the roads. The West Coast Main Line is already one of the most important freight routes in the UK, used by 90% of all intermodal trains, and its capacity likely to be transformed by High Speed 2, the next phase of the UK’s high speed rail network linking London with the North, currently due to open between London and Birmingham in 2026. Sustainability sits at the heart of the site’s masterplan, which includes the creation and maintenance of two new country parks of a combined 109 acres that will achieve a net biodiversity gain across the development, 36% of which will comprise green infrastructure. Warehouse roofs will be built to accommodate installation of photovoltaic panels, enabling the generation of renewable energy. In 2020, Oxford announced its intention to deploy £3 billion of capital in the European logistics sector over the next five years in platforms, developments and portfolios of scale. The company made its first direct European investment in 2020, with the acquisition of a 15-acre site in Heathrow alongside LCP. James Boadle, Head of Logistics and Residential, Europe at Oxford Properties, commented, “In recent years we have significantly increased our exposure to the logistics sector globally through several major transactions, including making our first direct investment into European logistics last year with LCP. Logistics remains one of our highest conviction calls globally, benefitting from substantial undersupply of prime new space while the growth of e-commerce and demand for expedited supply chains continues unabated, accelerated by the effects of Covid-19.” “The transaction represents a rare opportunity to gain significant exposure at attractive risk-adjusted returns in an increasingly competitive landscape. We are pleased to be again working alongside LCP’s highly experienced and professional team as we deliver a best-in-class logistics park with occupier demand, technological advancements and environmental, social and governance principles at its core.” Pierre Leocadio, Head of Investment, Europe at Oxford Properties, added, “This transaction presents an exciting opportunity to develop a market leading, prime logistics hub, alongside our trusted partner, LCP. Oxford is renowned for its ability to deliver major large-scale projects, and this aligns with our strategy to deploy capital at scale into the logistics sector. The inclusion of a new rail terminal in the masterplan allows us to create a site that has strong appeal to potential occupiers, while also helping reduce the environmental impact of its supply chain by reducing lorry traffic. The project will also create economic impact to the region through the creation of a significant number of local jobs.” John Pagdin, Head of UK Logistics Capital Partners, commented, “We have been tracking this particular site for some time and are delighted to have secured the park alongside Oxford Properties. West Midlands Interchange is a fantastic opportunity to build out a uniquely positioned development scheme, allowing us to offer occupiers every possible size, scale, configuration and specification of unit with none of the usual planning delays or uncertainties often associated with schemes of this nature. We look forward to progressing first stage preparatory works and welcoming occupiers to this exciting project.” The site was acquired from the shareholders of Four Ashes Ltd, a three way partnership including Kilbride Holdings and Grosvenor Group’s Indirect Investment business (Grosvenor). Peter Frost, Director of