AXA Investment Managers - Real Assets has acquired, on behalf of clients, a development site on the M1 motorway at Luton, UK, which will be developed by Baytree Logistics Properties, its pan-European logistics and industrial development platform. It has planning consent for the construction of over 400,000ft² (37,161m²) of distribution space. Baytree has appointed Savills and Doherty Baines to market build-to-suit opportunities on the site to prospective occupiers.
Comprising two units, the larger of the two offers 355,965ft² (33,070m²) of space, including a 344,954ft² (31,118m²) warehouse, while the second unit totals 54,520ft² (5,065m²). Both units offer occupiers a high degree of flexibility with consent secured for up to 20m clear internal height for the large unit and 10m for the smaller unit. The two plots also include space for offices as well as parking and the two properties could be leased to one occupier or separately. Preparation of the site will begin imminently and the larger unit can be available for occupation in Q1 2017.
The ‘Baytree Luton’ site sits in a well-located and prominent location, adjacent to the new junction 11a of the M1. The site is strategically located for many forms of national or regional distribution activities and is one of very few locations that can accommodate distribution buildings of this size and flexibility along the M1 corridor.
The new-build properties will be at the vanguard of sustainable development. The buildings will be designed and constructed to achieve BREEAM Excellent ratings, and individual features include solar thermal hot water systems, rainwater harvesting and smart meter technology. AXA IM - Real Assets considers sustainability as a key strategic and business factor fully integrated into core business and development projects.
The buildings will be developed by Baytree’s team, drawing on their knowledge of logistics assets as well as occupier needs, and will draw on AXA IM - Real Assets’ wider development capability. The acquisition adds to AXA IM - Real Assets’ existing European portfolio of €1.5bn and over 1.9 million m² of logistics assets.
Jonathan Priestley, commercial director at Baytree Logistics Properties, commented: “Combining our development expertise with our understanding of logistics and occupier needs, we are offering potential occupiers one of highest quality, most sustainable and best-located distribution sites along the M1 motorway. With over 400,000ft² (37,161m²) of available space, the two plots will be tailored to tenant needs and the larger unit can be ready by the beginning of next year.”
Anne Kavanagh, global head of asset management & transactions at AXA IM - Real Assets, added: “This acquisition offers an immediate opportunity to add a high quality logistics asset to our European logistics pipeline. The Luton transaction will highlight Baytree’s ability to develop logistic assets for the benefit of AXA IM - Real Assets’ clients.”
