Caddick Group to deliver £50m speculative logistics scheme for AEW’s new UK logistics venture
Over 500,000 sq. ft. of prime logistics space to be created near Wakefield, West Yorkshire.
Marking the second phase of Crosspoint 33, an emerging logistics hub near the M62 with The TJX Companies, Inc.
Caddick Group is to build a £50m GDV distribution centre near Wakefield, Yorkshire for global real estate investment manager AEW. AEW will buy the site from Caddick Group and fund the development for its recently launched €290m develop-to-core UK logistics venture with Allianz.
Caddick Construction have been appointed as the main contractor to deliver the 512,000 sq. ft. facility, now named Wakefield 515.
Wakefield 515, previously known as Cross Point 33 phase two, will sit next to the already completed Cross Point 33 phase one, a £100m 1.2m sq. ft. distribution centre now occupied by TJX Europe, parent company of retail brands TK Maxx and HomeSense.
Located at Junction 33 on the M62 motorway, Wakefield 515’s strong transport connectivity is expected to appeal to retailers, e-commerce businesses and 3PLs, which would typically look to take a ‘big box shed’ facility like Wakefield 515. Start onsite will be early next year. The building is due to be delivered by Q4 2020 and will be marketed jointly by Dove Haigh Philips and JLL.
Myles Hartley, managing director at Caddick Developments, said: “As a Group our focus is on structurally-supported asset classes such as build-to-rent and industrial/logistics, where we see long-term growth potential. Wakefield 515, which follows on from our successful Crosspoint 33 development, will be a landmark scheme in terms of size and scale and we are keen to start on-site, creating hundreds of jobs locally both during and after construction.”
Nick Winsley, managing director and head of investments at AEW UK Investment Management, commented: “This acquisition is an excellent opportunity for AEW. The UK logistics sector is demonstrating historically strong take-up, occupancy levels and rental growth with very little new Grade A supply in the Yorkshire market for larger warehouses.”