A joint venture (JV) between urban logistics developer Chancerygate, a fund managed by Credit Suisse Asset Management and global real estate firm Hines has forward sold a 172,000 sq ft urban logistics development in Dagenham to a fund managed by BlackRock for an undisclosed sum.
Dagenham Council has approved plans to speculatively build 15 Grade A urban logistics and industrial units at the development which is called Zephyr Park. The units range from 5,490 sq ft to 34,670 sq ft and are available leasehold and freehold. Construction is due to commence in August this year.
The six-acre site was previously owned by wholesale electrical distributor Rexel UK. Situated on Rainham Road between the A12 and A13, Zephyr Park is located less than half a mile from Hackman Capital Partners and Dagenham Council’s proposed £300m film and TV studios.
Chancerygate managing director, Richard Bains, said: “Zephyr Park will be an outstanding urban logistics development which will generate continued investment and job creation for Dagenham.
“Forward selling Zephyr Park to BlackRock shows the strength in urban logistics as an asset class. It is also testament to the high specification, sustainable product we build as it attracts businesses to locate to our developments ensuring they are best placed to continue to grow.
“We look forward to working with Hines and BlackRock to deliver Zephyr Park and expect to achieve practical completion in summer 2023.”
Founded in 1995, Chancerygate is the UK’s largest multi-unit urban logistics developer and asset manager and the only one operating nationwide.
The company has offices in London, Warrington, Birmingham, Bristol and Milton Keynes. It currently has more than 3.5m sq ft of industrial space under construction or ready for development across 32 sites ranging from Bournemouth to Edinburgh
Greg Cooper, Hines managing director, industrial and logistics, added: “We are pleased to have executed this opportunity to recycle this asset, with the value generated illustrating the unabating demand for high quality logistics developments.
“It is an asset class which remains a key focus for Hines in the UK, and we are continuing to explore opportunities to grow our portfolio of both big box and urban facilities.”
Agents for the development are Colliers International, CBRE and Glenny.