Author: connor

A new road designed to improve the flow of traffic in and around Aylesford has been officially opened.

The £8m road linking Station Road and Bellingham Way, has been delivered by Panattoni as part of its £180m redevelopment of the former Aylesford Newsprint site. Creating more than 1 million sq ft of high quality logistics and distribution space, the site near Junction 4 of the M20 in Kent is the South East flagship development of Panattoni, the largest logistics real estate company in the UK and Europe.

The road was jointly opened with a cutting of a ribbon by Cllr Roger Gough, Leader of Kent County Council; Cllr Matt Boughton, Leader of Tonbridge and Malling Borough Council, and Tony Watkins, Panattoni’s Head of Development for South East and London.

Tony Watkins said: “It’s great to be able to deliver on a key part of our promise to the local community. This new road has been designed to relieve congestion on the local road network and enable the site to support high quality businesses and the people they will employ.”

As a result of the new road, all non-HGV traffic destined for Panattoni Park Aylesford or New Hythe Business Park can now access them via junctions 4, 5 and 6 on the M20, via Bellingham Way and Station Road.

KCC Leader Roger Gough, added: “This investment in new infrastructure shows why it is so important to attract positive investment from market leaders such as Panattoni.

“The timely provision of the new link assists with local connectivity, complementing the area’s highway network, and has enabled the redevelopment of the vacant Aylesford Newsprint site, creating thousands of new jobs. We look forward to supporting Panattoni’s continued investment in Kent and see this as a great vote of confidence in the importance of the county’s economy.”

Thanks to its location, the site called Panattoni Park Aylesford, is now home to Amazon, the world’s largest online retailer; DHL, the global logistics company; Evri, the UK’s biggest dedicated parcel delivery company; Fowler Welch, the temperature-controlled logistics company, and Marley, a UK leader in the manufacture and supply of pitched roof systems to the construction market. Planning permission has also recently been granted for the development of 630,000 sq ft to be constructed on the site. The only remaining space is Plot 6A which offers the design and build of a further 16,500 sq ft of space for another logistics industry business.

Cllr Matt Boughton, said: “Since first unveiling its plans in 2020, the team at Panattoni have been true to their word and transformed this derelict 90-acre site. They must be congratulated for delivering a really high quality home for world-class businesses offering a wide range of modern jobs here in Tonbridge and Malling.”

As part of an agreement with Tonbridge and Malling Borough Council during the planning process, Panattoni will support the refurbishment of the Aylesford and New Hythe railway stations. It will also extend the provision of local bus services in the area, and put new cycle paths and footpaths in place.

The existing buildings on the site have been built to achieve high environmental performance. DHL’s building is a net zero carbon facility with a BREEAM rating of ‘Excellent’ and an EPC rating of ‘A+’ to support its last-mile facility serving the South East. The 97,891 sq ft building taken by Fowler Welch incorporates a 1.5MVA photovoltaic array covering the roof; a bespoke car park canopy; and cycle shelter. The peak electrical output from the solar panels is equal to the incoming supply, which means the Fowler Welch facility will be able to operate fully from the power generated onsite.

Panattoni, the largest logistics real estate developer across the UK and Europe, has passed the major landmark of £350 million through three significant acquisitions this year.

The first quarter saw Panattoni acquire a prime west London redevelopment site near Heathrow Airport where an 80,000 sq ft unit will be delivered for Q3 2024; the site is called Panattoni Poyle. The start of the third quarter saw the acquisition of a site to deliver 800,000 sq ft in Milton Keynes, where the business will construct two speculative units of 350,000 sq ft and 450,000 sq ft. The end of the third quarter sees the acquisition of a two unit park totalling 626,468 sq ft in Sittingbourne, strategically located to the Southeast of London 4 miles from junction 5 of the M2.

The 26-acre site, acquired from Abrdn, will be developed as a state-of-the-art, net zero carbon development. This prime location offers unparalleled access to local and national distribution routes facilitated by the M2, M20, and M25 motorways. The development will provide seamless connectivity to vital markets such as London, the Southeast, and Europe via London Thamesport, Dover, and the Port of Tilbury.

The site has planning consent for two distinct units, spanning 439,228 sq ft and 205,320 sq ft, respectively which will be speculatively developed.  Construction is due to commence at the end of the fourth quarter of 2023, with a targeted completion date in the fourth quarter of 2024. A key advantage and differentiator of Panattoni Park Sittingbourne are its enhanced environmental, social, and governance (ESG) features; the site has 5MVa of power available with a further capacity of additional 1.35MVa from the solar PV provided as part of the base specification by Panattoni. Furthermore, Panattoni will engineer the construction to achieve a BREEAM sustainability rating of ‘Excellent’ and an Energy Performance Certificate (EPC) rating of ‘A’.

Panattoni’s acquisition at Sittingbourne follows its success at the nearby 1.6 million sq ft Panattoni Park Aylesford; the level of demand in the region has  resulted in the scheme being  100% pre-let to major national and international occupiers in less than 24 months from acquisition

Tony Watkins, Head of Development for the South East and London at Panattoni, said, “This third acquisition in the South in 2023 confirms our success in delivering on a strategy to acquire land that provides value to investors and customers in the current commercial environment. We will continue to selectively purchase key developments that offer value-add opportunities within core markets in London and the South East, where we can drive rental growth”.

Finally, he said “we expect to be announcing more acquisitions this quarter”.

Panattoni were advised by JLL, Abrdn were advised by Avison Young and Savills

Panattoni, the UK’s largest industrial developer, is collaborating with Newlands Developments to create a 800,000 sq ft logistics hub in Milton Keynes.

The project, which is understood to have a gross development value north of £200m, will comprise two speculatively constructed units of 450,000 sq ft and 350,000 sq ft on a 50 acre site next to the M1.

The developer said Panattoni Park Milton Keynes “has the capacity to serve all of the UK, enabling efficient connectivity and distribution across key regions”.

James Watson, Head of Development Southern England and London at Panattoni, said: “Panattoni Park Milton Keynes marks a significant step in our ongoing commitment to big box development in key UK locations. Our strategy focuses on addressing the evolving needs of the logistics market and our clients.

“The decline in new speculative development starts in the past 12 months will give this project first mover advantage in the market. Panattoni Park Milton Keynes is a testament to our commitment to the ongoing growth of the sector and the delivery of top-tier logistics developments.”

Simon Williams, head of development at Newlands Developments, said: “The site is ideally located for the speculative development and will offer customers a fantastic opportunity in the large-scale logistics property market. The units will be constructed to the highest BREEAM and EPC ratings confirming both Newlands’ and Panattoni’s commitment to sustainable development. We look forward to working closely with the Panattoni team to provide a successful development at Milton Keynes.”

Cushman and Wakefield was an adviser on the deal.