Midlands shed sale highlights shortage of stock
A warehouse in the Midlands has been let and sold before the building has finished being built highlighting the continued shortage of space and strong appetite for logistics investment in the UK.
National furniture brand, DFS, has signed up to 53,000 sq ft of space at St. Modwen’s Centurion Park in Tamworth and the resulting investment has been forward sold for £5.1 million to Limes Developments off an annual rent of £314,255 equating to approx. £5.95 per sq ft.
Doncaster-based DFS has taken the 53,000 sq ft warehouse and distribution unit at Centurion Park to facilitate the delivery of orders to its Midlands’ customer base.
The unit offers 49,959 sq ft of warehouse space and 2,861 sq ft of offices and provides a substantial yard and multiple loading doors, including seven dock level loading doors.
Jonathan Green, senior development surveyor at St Modwen, said: “We built the new unit in response to the need for high quality warehouse space in an accessible, prime location.
“Selling the warehouse and securing an occupier like DFS before construction has completed is testament to that decision.”
Ranjit Gill of Savills, property agent for Centurion Park, added: “We are currently experiencing a high level of demand for modern industrial premises but availability across the region is very limited. St. Modwen has identified this market imbalance and has proceeded with this speculative development in this popular logistics location.”
St. Modwen, the UK’s leading regeneration specialist, secured consent from North Warwickshire Borough Council last July for a 200,000 sq ft extension at Centurion Park. The first phase of development at Centurion Park was completed in 1994. St Modwen is now moving forward with plans to build a 150,000 sq ft unit at Centurion Park.
Savills and BNPParibas Real Estate are marketing the site where a further 153,000sq ft unit is available.
WSB Property Consultant advised St Modwen on the sale of the warehouse while Shuttleworth Real Estate acted for Limes.