Author: connor

Panattoni, the largest logistics real estate developer in the UK and Europe, has secured planning consent for a speculative 80,000 sq ft last-mile logistics development in the sought-after Heathrow area after purchasing the site in the first quarter of 2023.

Panattoni will commence speculative development in January 2024 of Panattoni Poyle 80, a net zero carbon development that will be built to a BREEAM sustainability rating of ‘Excellent’ and an EPC rating of ‘A’. Completion is expected in the third quarter of 2024.

Panattoni Poyle 80 is strategically located on Horton Road near junction 14 of the M25. Poyle is one of Greater London’s most established logistics locations, offering direct access to the M25 and close proximity to Heathrow Airport’s passenger and cargo terminals alongside convenient last-mile connectivity with Europe’s largest consumer market, London.

Panattoni Poyle 80 is one of three significant sites in the south east that Panattoni has acquired this year for a combined £350 million, providing value-add development opportunities in core markets, where Panattoni can drive rental growth.

Alex Mitchell, Development Manager, South East and London, at Panattoni, said: “Panattoni Poyle 80 is a rare ultra-urban, last-mile opportunity, providing immediate access to the UK’s largest cargo terminal at Heathrow Airport, and is one of very few opportunities available in this market.

“The development of Panattoni Poyle 80 reaffirms our ongoing commitment to our speculative development programme and the broader logistics sector, which continues to benefit from strong occupier demand for well-located, high-quality assets with enhanced sustainability credentials. We have been encouraged by early interest and look forward to starting this development next year”.

Stephen Vickers, Commercial Delivery Director at Panattoni, said: “We are pleased to be moving forward on the delivery of the new site, with planning now secured to deliver a sustainable facility for occupiers. Panattoni has reviewed the supply chain to make sure we are reducing our carbon output and delivering a net zero carbon development in construction. The facility will deliver a highly sustainable scheme to an excellent specification in a desired prime location”.

Agents at Panattoni Poyle 80 are DTRE and ACRE Capital Real Estate.

Panattoni, one of the world’s largest industrial real estate developers, announces its inaugural project in India with the launch of the first phase of Panattoni Park NH71 in Delhi NCR.

This environmentally conscious Grade A warehouse park by Panattoni India signifies the company’s entry into the Indian market. Panattoni is investing INR 110 Crores (€12 million) in the first phase of the project, which will total 360,000 sq ft, as part of a planned €100 million investment in projects in India in the next year.

This investment reflects Panattoni’s commitment to contribute significantly to the country’s industrial growth.Construction is scheduled to commence by March 2024 with completion targeted by the end of the fourth quarter of 2025.

Situated on National Highway 352 (formerly known as National Highway 71) in the Delhi-NCR region, in the heart of an established warehousing cluster encompassing Luhari on one side and Farrukhnagar on the other, the park benefits from its proximity to a large congregation of major retailers, logistics companies, e-commerce and industrial occupiers.

Designed to meet diverse industrial requirements, the development focuses on sustainability, utilising eco-friendly methods and innovative infrastructure, including 100% wastewater recycling. The focus on sustainability aligns with Panattoni ‘s commitment to reducing environmental impact by optimising resource usage, promoting low-emission transportation and actively participating in initiatives as part of the Indian Green Building Council.

Commenting on the announcement, Sandeep Chanda, Managing Director India, Panattoni, said, “Serving as a gateway to India’s dynamic industrial landscape, Panattoni Park NH 71 marks our first bold step into India’s thriving market. We are excited to introduce phase 1 of our world-class warehousing establishment in the heart of the Delhi-NCR region, reflecting our commitment to providing premier spaces that empower businesses and fuel economic growth.

“As global leaders in industrial real estate development, we will prioritise sustainable ESG policies to reduce CO2 emissions and benefit the communities we serve in India. The inaugural project exemplifies our dedication to innovation, strategic development and creating opportunities that drive success for our clients and the communities we serve”.

Panattoni views India as a critical node for its global business and plans to rapidly expand in the country in the coming years.

Panattoni, the largest logistics real estate developer in Europe, has appointed logistics real estate veteran Nick Preston to diversify and grow its investor base.

Preston has been appointed head of the newly created Panattoni Investment Management, which will provide Panattoni with additional pools of capital. Reporting to Robert Dobrzycki, CEO and co-owner of Panattoni Europe and India, Preston will work by forming discretionary pools of capital with longer investment horizons, supplementing the company’s existing investor base.

One of the benefits for the new investors will be the opportunity to gain exposure to both the enhanced returns from Panattoni’s extensive development pipeline and a clear stock selection policy to provide long term outperformance. Panattoni has been the largest logistics developer in Europe for the last seven years with market leading expertise in delivering high-quality, sustainable logistics facilities in the UK, Germany, France, Italy, Belgium, Netherlands, Poland, Spain, Portugal, Slovakia, Czech Republic, Austria, Hungary and the Nordics. Panattoni’s commitment to be net zero carbon in all of its new developments by 2025 accords with the deep rooted ESG focus of Panattoni Investment Management.

Preston is a specialist European real estate investment manager, with particular expertise in the industrial and logistics sectors. He was previously CEO of Tritax EuroBox plc, the FTSE 250 listed pan-European logistics investor. Between 2012 and 2016 he broadened his European experience at Grosvenor Fund Management, helping grow the business, particularly in the Nordics.  Before that, he was instrumental in growing CBRE Investment Management’s UK business..

Nick Preston, Head of Panattoni Investment Management, said: “Joining Robert and the team at Panattoni, the unrivalled best-in-class logistics platform in Europe, gives me a significant opportunity to help the company grow by tapping into new sources of capital.” .

“This is an opportune time to be investing in logistics following the recent price corrections that have taken place. The market fundamentals remain well placed with robust occupier demand and constrained land supply and low vacancy levels. We are going to be opportunistic in our investment approach, with discretionary mandates allowing us to react quickly to opportunities as they arise”.

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.