F&C REIT has let a combined 245,000 sq ft of new high-specification warehouse space at Fradley Park, Lichfield, to DHL and retail warehousing and distribution specialist Amethyst Group. GVA’s Industrial team acted on behalf of F&C REIT, together with Kingstons Commercial and CBRE.
DHL has taken the 142,184 sq ft ‘Hawk’ building on a five year lease at a rent of £4.50 per sq ft. The letting comes as a result of a contract DHL has recently secured from industrial machinery manufacturer JCB. The new unit will operate as a parts distribution centre. The new contract – which has fuelled the letting – reflects strong results at JCB, with the company recently announcing a recruitment programme to take on 80 engineers, and deals to supply a total of over 800 machines.
The Amethyst Group, which already occupies a 111,300 sq ft unit at Fradley Park, has competed a new five year lease on a new 102,174 sq ft unit named ‘Falcon’. The significant expansion is a sign of the company’s continued success in the retail sector, with customers such as New Look.
Geoff Haffenden, property portfolio manager at Amethyst Group said: “Building on the success that we have seen in recent years in internet fulfilment, this was the right time for us to open a second distribution centre at Fradley Park. The Park provides us with an outstanding location at the heart of the UK and it is a great place to base our operations from.”
Tesni Thacker, associate in GVA’s Industrial department, said: “It is great that we are seeing an increase in demand across the region from both the automotive/logistics and retail sector, particularly given the difficult time that these industries have faced over the last few years.”
Nicholas Mehangra, asset manager at F&C REIT said: “Fradley Park is an established logistics park and is very popular with occupiers. There are further existing units available on the Park, as well as potential development opportunities. DHL and Amethyst Group both secured existing units and as a result both were able to gear up their operations very quickly, creating many new jobs in the process.”
The ‘Hawk’ letting to DHL follows the current upswing in the logistics and automotive sectors, with GVA experiencing a marked increase in enquiries from this sector of the market.
The specification of warehousing units at Fradley Park typically includes dock and ground level loading doors, up to 12 metre eaves, up to 50 metre yard depths and a good ratio of lorry parking spaces.
Situated one mile north of Lichfield and within easy access from the A38, Fradley Park benefits from planning consent for over four million sq ft of warehouse, industrial, offices and business support facilities, with over 2.9 million sq ft already developed and occupied. Existing tenants include Hellman, Palletways, Florette and Tesco.
Joint agents with GVA at Fradley Park are CBRE and Kingston Commercial Property Consultants. Simon Allen Associates acted on behalf of Amethyst Group.