Oxenwood Real Estate has exchanged contracts with HBD to forward fund a 426, 464ft² logistics development in Nottingham for €62.7m (£53.8m). The development, called New Horizon, is located on a 28-acre site on Thane Road, three miles south west of Nottingham, close to junctions 24 and 25 of the M1. It forms part of the former Imperial Tobacco plant. Nearby occupiers includeBooker,Boots, ZF Services,DHL, Games Workshop, Aston Martin,Audi,Nissan,Ford, Sytner Group, Macfarlane Packaging and Big Yellow. New Horizon will comprise six speculatively developed units, ranging in size from 32,510ft² to 145,723ft², which will be built to a BREEAM sustainability rating of ‘Very Good’. Completion of the development is expected in early 2023.
Since acquiring the site, HBD has completed extensive works to bring it back into use in preparation for development and secured outline planning consent in 2019. HBD will now be submitting detailed plans to Nottingham City Council for approval, so that work can start on the site to deliver the investment and new jobs as quickly as possible. Subject to planning consent, the development is expected to beccompleted in early 2023. New Horizon has the capability to deliver up to 1,000 new jobs.
Jeremy Bishop, co-founder of Oxenwood, said: “This forward-funding agreement will deliver a high-quality first asset to our new fund. The variety of unit sizes is well placed to meet the regional demand profile, where occupiers of older industrial space are looking to expand, and will be delivered in a market with an acute undersupply of 30,000 – 150,000ft² units. We expect the very high existing power supply of 8MA will be attractive to power-hungry occupiers”.
Justin Sheldon, Director and Head of Region at HBD, said: “The development of New Horizon, with a range of units and sizes, will appeal to a variety of businesses and sectors, which will drive inward investment into the city and create new jobs. We are very pleased to be working with Oxenwood and look forward to bringing our plans forward”.
Vivienne Clements, Executive Director at HBD, said: “Industrial and logistics forms a key part of our strategy and we continue to build our portfolio across the UK. This latest deal will see the development of high-quality units at one of Nottingham’s most well-located sites. Demand for I&L space remains robust and we’ve no doubt that New Horizon will prove very successful”.