Like many other sectors, the commercial property industry has faced the trials of Brexit and Covid-19 but the market has shown great resilience. An extra Euro 1 billion spent online results in demand for a further 770,000 square feet of warehouse space, according to research by commercial property developer Prologis.
This article was first published in the October 2020 issue of Logistics Insight, subscribe to the magazine by clicking here.
Goodman has broken ground on a combined 477,370 sq ft of prime distribution and logistics space at Crossways Commercial Park in Dartford. The three high-specification units of 238,800 sq ft, 137,365 sq ft and 101,205 sq ft respectively will open up opportunities for retail, e-commerce and third-party logistics customers in this sought-after M25 location, just 22 miles outside Central London. Due to complete in Summer 2021 and what will be one of Goodman’s most sustainable UK schemes to date, Crossways Commercial Park forms part of the Group’s global strategy to meet the increasing demand for strategically located logistics space with close proximity to large consumer markets.
Prologis UK has announced that it will build a new logistics facility for its customer Rajapack, close to the company’s existing facility at Prologis Park Marston Gate. Prologis recently secured planning permission for the 261,230 sq. ft square foot industrial logistics building and work on site started in July, when representatives from Prologis, Rajapack and Central Bedfordshire Council met to hold a groundbreaking ceremony. Rajapack currently operates out of a 100,000 sq. ft facility on Prologis Park Marston Gate; however, due to a growing requirement for space, the company needed a larger building.
LondonMetric Property Plc has announced the disposal of a portfolio of six distribution warehouses for £57.3 million to Canmoor and Canadian institutional investor AIMCo. The portfolio has been acquired over a number of years, including last year’s acquisition of A&J Mucklow, and is located in Worcester, Leamington Spa, Royston, Castle Donnington, Milton Keynes and Huyton. The properties are let to retailer Hamleys, CEVA, ITAB, Transmec and Groupo Antolin, an automotive supplier to JLR.
W. P. Carey, a leading net lease REIT specializing in corporate sale-leasebacks, build-to-suits and the acquisition of single-tenant net lease properties, has announced a $44 million sale-leaseback of two state-of-the-art food manufacturing facilities located in the U.S. Midwest totaling in excess of 350,000 square feet. The facilities are master leased on a triple-net basis for a period of 25 years to a leading food manufacturer.
Planning consent has been secured for a further 24,000 sq ft of industrial space at Humberston’s Hewitts Business Park. Permission has been granted for light and general industrial use, together with warehousing and distribution, with trade counter operations seen as suitable for the site, which sits by seven motor dealers. Harrogate-based developer Bramall Properties Ltd is behind the development.
It is refreshing to see the commercial property sector withstand the challenges of recent times. With online shopping set to boom in the next few years, a trend which has only been accelerated by the lockdown, the demand for warehouse space will continue to grow.