Panattoni secures letting of speculative warehouse facility to Alloga UK

panattoelement on January 25, 2021

Panattoni secures letting of speculative warehouse facility to Alloga UK

Panattoni, Europe’s largest developer of logistic facilities, has leased one of its speculatively developed warehouses to Alloga UK.

Panattoni has secured the specialist healthcare logistics company to lease its 370,942 sq ft speculative warehouse and distribution centre on Derby Commercial Park.

Alloga UK will use the Derby 370 unit as a further storage and distribution facility in line with its company strategy for growth and continued investment for the future. Fit-out is set to be completed by mid 2021.

Leasing Derby 370 will mean that Alloga, a specialist provider of supply chain solutions for healthcare manufacturers, will occupy in total 1.78million sq ft of warehouse space.

 Andrew Preston, Development Manager at Panattoni said: “We are delighted to have secured a letting to Alloga UK, which is further proof of the continued occupational demand for well-located, speculatively built warehousing.

“We believe this facility will serve them well as it is located in one of the UK’s most advantageous transport locations and will help them achieve their long-term growth strategy,” he said.

Chris Williams, Managing Director of Alloga UK added: “It is always fantastic news when we open new premises, and Derby 370 is particularly exciting because it is our first warehouse which is not located in South Normanton. It gives us the opportunity to expand the capabilities of our business, and further increase job opportunities for existing staff and also new skilled and talented staff from the Derby area.

“Our capabilities and service offering for our customers, and manufacturer partners, will continue to evolve with this considerable investment, which will also further enhance our ability to provide innovative solutions and services to meet the ever-changing needs of our clients,” he said.

Panattoni will be starting on-site in Q1 2021 at the adjacent site on Derby Commercial Park, speculatively developing 515,000 sq ft at Derby 515.

CBRE, Burbage Realty and Avison Young acted as joint agents on the scheme. JLL acted for Alloga UK.

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Aberdeen Standard Investments (ASI) on behalf of South Yorkshire Pension Authority have acquired Panattoni Basildon 117 building in £23m deal

panattoelement on January 20, 2021

Aberdeen Standard Investments (ASI) on behalf of South Yorkshire Pension Authority have acquired Panattoni Basildon 117 building in £23m deal

Panattoni, the largest speculative developer of logistics property in the UK, has sold Basildon 117 in a multi-million-pound deal to asset management giant Aberdeen Standard Investments.

The speculative development, which was completed in Q4 2019, was the largest to be built within Basildon in over a decade. Last year saw Swan Housing, one of the UK’s leading modular home builders secure a 15-year lease on the property. They will be making the unit its new headquarters in addition to its existing, adjacent factory, also owned by Aberdeen Standard Investments.

The sale of the 117,000 sq ft unit, which completed in January 2021, was sold to Aberdeen Standard Investments in a £23.3 million deal to the investment firm, reflecting a net initial yield of 4.3%.

James Watson, Development Director for Panattoni, said: “We are delighted to have concluded the sale of this asset to Aberdeen Standard. We were thrilled when Swan Homes decided to lease this development on a long-term basis to support the growth of their business. Aberdeen Standard’s purchase marks the end of our business plan on this project. We remain highly acquisitive for more development opportunities in the south east.”

James McLean, Fund Manager of Aberdeen Standard said: “We are pleased to have completed the acquisition of Basildon 117 from Panattoni on behalf of South Yorkshire Pension Authority. The industrial unit increases SYPA investment in Basildon where Swan Commercial Services are already an existing tenant. We remain committed to increasing exposure into the industrial sector.”

JLL advised Panattoni and Burbage Realty acted for Aberdeen Standard Investments.

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Panattoni committing to over 280,000 sq ft of spec at new Park in the North

panattoelement on January 18, 2021

Panattoni committing to over 280,000 sq ft of spec at new Park in the North

Panattoni, the largest industrial developer in Europe, has now broken ground on a new 360,000 sq ft logistics scheme in Bolton and has already secured its first pre-let to Hermes, one of the UK’s largest consumer delivery companies.

The 21.7 acre brownfield site, to be known as Panattoni Park Bolton, is situated off Great Bank Road on the popular Wingates Industrial Estate, a four-minute drive from Junction 6 of the M61 and seven miles from the M61 / M62 interchange.

TSL Projects have already begun work on the site which will include an 80,000 sq ft bespoke parcel delivery warehouse for Hermes UK and the speculative development of a single distribution unit of 280,698 sq ft, which will benefit from 15-metre eaves, two generous yards and a range of sustainable features. The building will be built to a BREEAM rating of ‘Very Good’ and an EPC rating of ‘A’. Both units will be completed by June 2021, allowing Hermes to be fully operational well ahead of the traditional Christmas peak.

Dan Burn, Panattoni Development Director said: “We are delighted to be working with Hermes on its new flagship depot in the region as well as bringing forward such an exciting new speculative opportunity, which is the only development of its size and scale currently under construction in Greater Manchester. 2020 was a record year for the logistics sector and we are confident that with a paucity of supply across the North West and with very limited speculative development coming forward, the scheme will be perfectly positioned to capitalise on this demand.

Carl Lyon, Chief Operating Officer at Hermes, said: “This new site represents another key growth milestone for us, and the size and scale of our new Bolton depot will enable us to continue to process record levels of parcels for our clients, both large and small. More importantly, we’re very pleased to be able to create additional jobs in the region at this time.”

DTRE, Savills and Knight Frank are the retained letting agents on the scheme. LSH acted for Hermes Parcelnet.

For more information, visit www.panattoni.co.uk/bolton/

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Panattoni Recruits Head of Capital Markets

panattoelement on January 11, 2021

Panattoni Recruits Head of Capital Markets

Panattoni is pleased to announce the appointment of Nick Cripps as its Head of Capital Markets, based at Panattoni’s Hanover Square office in London.

Nick will be responsible for the capitalisation of projects across the UK and Europe and will form an integral part of Panattoni’s Global Capital network.

He will be working closely with Panattoni’s European operating platform, helping manage Global and Pan-European investor relationships and structure capital solutions.

Prior to joining Panattoni, Nick spent 12 years at Knight Frank, working in their Capital Markets team, advising both domestic and international investors and developers on their UK industrial acquisitions and disposals.

Nick Cripps said: “I am incredibly excited to join such an ambitious, innovative and market leading business, especially at a time of such growth within our market. I’m very much looking forward to working with the many talented people across the wider Panattoni business.”

Matthew Byrom, Managing Director of Panattoni, added: “With recent events, many of our capital partners are now wishing to increase their exposure to the industrial and logistics sector even further. We are delighted to welcome Nick Cripps on board; his quality, experience and creative approach to business made him a truly outstanding candidate. ”

Nick Cripps is a Chartered Member of the RICS and is a graduate of Newcastle University with a 1st Class honours and holds a MSc in Real Estate from the University of Reading.

For more details, visit: this link

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Delivering the UK’s largest warehouse for the world’s biggest online retailer

panattoelement on December 8, 2020

Delivering the UK’s largest warehouse for the world’s biggest online retailer

Panattoni is delivering a 2.3 million sq ft logistics centre in Swindon for a major internet retailer which will be the biggest single-asset logistics letting, and funding deal, ever negotiated in the UK.

The building in Swindon occupies a 68-acre site with dual carriageway access five minutes north of the M4 J15.

With a footprint of 625,000 sq ft, the building includes three internal, multi-level structural floors totalling 1,642,000 sq ft, 66,000 sq ft of offices on the ground floor and a further 70,000 sq ft of amenity areas.

Planning was awarded in August 2020 and the first of 3,500 steel piles were driven a month later. Practical Completion of the BREEAM Excellent rated facility is due Q4 2021.

A spokesman from Panattoni said: “The tenant requires the facility to be operational in Q4 2021, to achieve this demands a highly accelerated programme and complex phasing to facilitate fit-out of the MHE.

When we acquired the site it already benefited from an outline consent, by bringing forward a separate Reserve Matters application we were able to implement works to construct the development plateau and 45 acres of structural landscaping, wetland and ecological habitat concurrent with the detailed planning application, thereby saving several weeks on over-all duration.”

This deal follows on from Panattoni completing the biggest deal in continental Europe for the same client, at Gliwice in Poland. The Gliwice building is also 2.3 million sq ft, spread over four storeys, and boasts one of the most advance fit outs in Europe.

Panattoni is this internet retailer’s largest delivery provider in Europe, and currently have globally around 60 – 70 transactions with this party.

The need for buildings on the scale of these giants is only going to grow, driven by the demands of online retail. Panattoni are uniquely placed to meet the need for such buildings across Europe and in the UK, with development opportunities in strategic locations across the country, most, like Swindon, with the necessary planning in place to respond quickly to occupier demand.

The spokesman added: “The selection of these locations is key to attracting major international businesses, including the biggest retail brands. We acquire sites that offer easy access to the trunk road network and are easy to reach for locally recruited employees. This gives occupiers the strategic reach required for an RDC or NDC while making it easy to recruit the right people.

“While all our sites are available for bespoke warehouses, on many of them, we continue to roll out our spec build programme and we remain, by some measure, the biggest spec developer in the UK.

“Our proactive approach to land acquisition, combined with our ability to leverage global capital markets, puts us in a uniquely strong position to continue delivering the very large warehouses the modern economy needs,” he said.

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Panattoni commits to 1m sq ft in Northampton

panattoelement on November 25, 2020

Panattoni commits to 1m sq ft in Northampton

Panattoni, the largest industrial developer in Europe, is set to start work on the second phase of its 1.6 million sq ft industrial park in Northampton.

Panattoni Park Northampton is already the home to three former Panattoni buildings and will see further units delivered at 250,000 sq ft, 380,000 sq ft and 430,000 sq ft, totalling over another 1 million sq ft at the park.

The second phase of development at the Park comes after Panattoni successfully speculatively developed and let 625,000 sq ft of space to Eddie Stobart Logistics. The three new units will be developed over two phases, the first being units 250,000 sq ft and 430,000 sq ft started in December 2020. The 380,000 sq ft will commence in 2021.

Each will benefit from the same prominent location based on junction 16 of the M1 motorway, which will see tens of thousands of cars pass the occupiers’ logos each day. The two larger units have additional planning consent for 18 metre clear internal height. Build to suit opportunities are available during the development process, together with the option for an occupier to combine the two larger proposed warehouses into a single 800,000 sq ft unit.

Northampton sits in the so-called ‘logistics golden triangle’, considered to be the UK’s most strategically important location for distribution. Panattoni Park Northampton is only 20 miles from the M6 and A14.

The completed buildings will be built to a BREEAM rating of ‘Excellent’ and have an ‘A’ EPC rating. Local services have been improved on site as part of the development, with the Red Lion Truck Stop parking area being expanded to accommodate more vehicles, as well as a HGV filling station being added to the existing set of pumps. The section 278 road that leads to the truck stop and main development has also been improved to give better access to the motorway. Once fully occupied, the development could support over 1000 jobs.

Oliver Bertram, Development Director at Panattoni, said: “We’re delighted to be continuing the development in Northampton, after only recently completing the three units for Eddie Stobart. This shows that Panattoni has the confidence to deliver speculatively, knowing that the market needs more space.

“This park gives businesses an ideal base to serve key markets across the UK, with direct access to the country’s major motorways. Market interest remains high in this area and we are committed to providing the right spaces for businesses to expand their operations. The new units at Panattoni Park Northampton will do just that.”

Matthew Byrom, Managing Director at Panattoni, added: “This next phase of development in Northampton demonstrates the success of our high-level business strategy in the UK and the speed and scale at which we work. There are limited opportunities in the UK that will deliver a 1 million sq ft spec option and it’s an important build for industry as a whole and one that we anticipate will soon be let quickly.”

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Panattoni in UK & Europe develops over 16m sq ft in Q3

panattoelement on November 25, 2020

Panattoni in UK & Europe develops over 16m sq ft in Q3

Panattoni, the market leader in industrial real estate in Europe, had a busy third quarter, marked by the development of e-commerce and manufacturing space. At the end of September, the company had 16m sq ft of warehouse space under construction across Europe. Panattoni also started the construction of a distribution centre for Amazon in Schortens (Germany), as well as of the Wakefield 515 speculative project in Yorkshire (UK). In Poland, the developer began construction of a production facility for Danfoss Poland, carried on with work on a grill factory for Weber, and continued the development of e-commerce space at its parks as well as in its BTS projects.

Busy times in Europe. At the end of Q3, Panattoni had 1.5m sqm of industrial space under development. The company continued to increase its operations in Germany and the UK, where it carried on with work on Wakefield 515 – the largest speculative warehouse construction in the North of the country. The 512,850 sq ft building is ideally located to serve the regional and national markets and will feature a number of sustainable solutions, including rainwater harvesting.

In Germany, besides starting construction of the fifth distribution centre for Amazon in the Jade Weser Park warehousing facility, Panattoni continued work on two key speculative developments, both of which are brownfield projects. The first one, in Verden, comprises two industrial buildings with a total area of 646,000 sq ft; the second one, in Essen, includes over 215,000 sq ft of industrial space. In Ladenburg, work is in progress on a 581,000 sq ft logistics facility for Neska. The technologically advanced facility will be served by semi-automated forklifts designed to work in its narrow aisles, and photovoltaic panels are to be set on the roof of the building.

Panattoni was also active in the Czech Republic, where the company has several developments, including the 269,000 sq ft smart factory for Kion Group in Stříbro. Europe’s most sustainable industrial complex – Panattoni Park Cheb South – was BREEAM certified with a rating of ‘Outstanding’.

Work in progress in the Netherlands and Spain. Even though Panattoni has been active in these two markets for less than a year, it has already managed to make its presence felt. In the third quarter, the company’s arm in the Netherlands continued development of a 463,000 sq ft ultra-modern distribution centre in Venlo South. The developer also worked on an important project for Ridderkerk in Southern Rotterdam, which will have an area of 430,000 sq ft. In Spain, Panattoni continued work on two projects: a 305,000 sq ft industrial park in the Spanish village of Torija, close to the A2 (Madrid–Barcelona) motorway, and a 366,000 sq ft Logistics park in Vitoria, which is strategically located for transport between the Iberian Peninsula and the rest of Europe. Panattoni is planning to intensify its activity in both countries, as their markets are expected to be fuelled by the growth of e-commerce.

Polish share in the development. Panattoni has dynamic Polish operations. The space under construction includes among others 560,000 sq ft for Globalway (part of Costway group) in Panattoni Park Tricity East IV and a 721,000 sq ft BTS project in Czeladź, which is being customized for a sports fashion and accessories manufacturer. Projects nearing completion include a technologically advanced factory (161,000 sq ft) for Phoenix Contact e-mobility in the Rzeszów-Dworzysko Science and Technology Park and a grill factory for Weber in Zabrze. Panattoni is also expanding its City Logistics segment, having recently started development of City Logistics Warsaw (118,000 sq ft) and the Logistics Warsaw Airport II warehouse project (97,000 sq ft).

As Robert Dobrzycki, CEO from Panattoni commented: ‘The scale of Panattoni’s development across Europe is, on one hand, the evidence of the resilience that this sector is showing against the headwinds created by the pandemic; on the other, it reflects wider economic trends. The volume of space dedicated to e-commerce has significantly increased, demonstrating a 20 pct growth across our development portfolio in Q3. The involvement of production companies increased, as well as of distributors, always dependent on imports, who were impacted by supply chain disruptions in the first phase of the pandemic.’ He adds: ‘2020 is a year of revolutionary changes, which made the industrial sector the most attractive segment of real estate.’

To date, Panattoni has developed projects in Europe with more than 100 million sq ft of modern warehousing and manufacturing space, including 81 million sq ft in Poland. E-commerce projects make up a third of that amount – a share which the developer only expects will increase. According to the “Europe 2020: Ecommerce Region Report”, e-commerce in Europe is expected to be worth EUR 717 billion at the end of 2020. This translates to an increase of 12.7 pct y-o-y, but according to Ecommerce Europe, the full impact of the coronavirus pandemic has yet to be seen. Although the e-commerce market is more developed in Western Europe, as the region handles 70 pct of the e-commerce sales in Europe and has the largest percentage of people who shop online (94 pct in UK and 84 pct in Germany and the Netherlands), it is Eastern Europe that is now recording the largest growth, with 30 pct growth in Romania and Bulgaria, for example. The market is also rapidly developing in Spain, with 29 pct growth. The “E-commerce in Poland” report carried out by Gemius and the Chamber of Electronic Commerce (Izba Gospodarki Elektronicznej) in H1 2020 shows that 73 pct of internet users in Poland shop online, that is an 11 pp increase compared to the previous report. In light of this, the growth of the e-commerce sector at the end of this year may be much higher than the previously forecasted 18 pct.

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Growth is Strong in Germany for Panattoni

panattoelement on November 24, 2020

Growth is Strong in Germany for Panattoni

  • Panattoni announces positive annual results despite coronavirus pandemic
  • Investments in German Network deliver high customer satisfaction
  • Panattoni named Europe’s most successful project developer for fourth time in succession

Panattoni, Europe’s largest developer of industrial and logistics property, has announced positive results for the fiscal year 2020 despite the socio-political effects of the coronavirus pandemic. In Germany the developer was already handing over 14 complex projects to its customers. Some more to be completed until end of the year. Therefore creating a size of 300.000 square metres of building space in Germany. Already 21 new developments are brought on the way for 2021.

The investments in an expanded sales network, with four offices in Germany and measures to strengthen the team paid off. These key factors have increased Panattoni’s overall performance capabilities and improved essentially the service quality of the developer. Particular optimisations have been made in respect of in-situ collaboration with customers and partners. Panattoni has also expanded its Property Management business segment in Germany. To date, its portfolio of managed properties only included projects realised by Panattoni itself. However, the developer is now moving to take care of property management operations for external projects and partners. Most recently a new contract have been signed for a portfolio of four properties.

In addition to projects developed for the logistics and industrial sectors, Panattoni has also reached key milestones in the German market with its novel urban business parks. The developer is working to create an additional to the “City Dock” Berlin Spandau in Falkensee, just outside Berlin. These innovative business parks are a much-needed solution to the lack of urban commercial space; they will offer flexible and modular premises starting from 700m² to users from different sectors.

Fred-Markus Bohne, Managing Partner at Panattoni in Germany, summarised the last year: “In view of the enormous economic and social restrictions brought about by the coronavirus pandemic, it is gratifying to see our development during this difficult year. The pandemic has forced us and our partners to adapt, from maintaining contact to restructuring project schedules and staying the course in order to bring projects to a successful and timely conclusion. We were able to do so thanks to strong communication with our partners and dedicated crisis management operations; although we remain cautious, it gives us reason to look to the year ahead with optimism. We want to be there for our customers and continue to grow together in 2021. Our work today lays the foundations for that.”

Panattoni also has success to celebrate at the European level. Once again, specialist real estate magazine PropertyEU’s rankings of Europe’s leading project developers for logistics properties puts Panattoni in first place. A total of fourteen developers were included in the rankings, which are based on the period from 2017 to 2019. By handing over a total of 6.31 million square metres of logistics and industrial premises across Europe. Panattoni delivered double the surface area of the second-placed developer and has been crowned Europe’s largest developer for the fourth time and has another time proved itself a capable and reliable project developer in the European market.

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Panattoni to develop a new logistics project in Barcelona

panattoelement on November 23, 2020

Panattoni to develop a new logistics project in Barcelona

Panattoni, Europe’s logistics and industrial real estate market leader, has announced the acquisition of 46,920 m2 plot of land that will be used for the development of a logistics project in the municipality of Castellbisbal, Barcelona. This will be their first project in Catalonia and will be able to adapt to meet market demand by developing either a warehouse building of 18,000 m2; or a crossdocking warehouse for last mile distribution of up to 14,000 m2.

With this announcement, Panattoni gives new impetus to its policy of growth in Spain, quickly placing itself in the most significant markets of the Logistics Real Estate sector. Panattoni Park Barcelona City I, will be located in the Industrial Park Can Estapé, Castellbisbal, adjacent to the city of Barcelona. At less than 20km away from the centre of Barcelona, with excellent connections to motorways, multimodal centres and the Port of Barcelona, it is a very strategic location for merchandisers both in e-commerce and last mile operations.

Panattoni Park Barcelona City I will be designed and built under the highest quality standards of the market and with environmental certificate BREEAM “Very Good”.

“Panattoni’s arrival in Barcelona with this project is an important milestone for the company, and achieving it so soon after entering the Spanish market is very satisfying for us. The limited availability of logistics facilities within the Barcelona area, coupled with growing demand driven by the recent rise of e-commerce, make us confident that this operation will be a guaranteed success. To that end, we offer our customers a high quality product, tailored to their needs, at competitive prices that characterize our developments,” said Gustavo Cardozo, Managing Director of Panattoni for Spain and Portugal.

The transaction was brokered by the consulting firm Cushman & Wakefield, who will also lead the marketing of this development. The construction of the project – once it is launched – is expected to begin in the second quarter of 2021.

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Panattoni Park Nottingham now fully let

panattoelement on November 18, 2020

Panattoni Park Nottingham now fully let

Panattoni, Europe’s largest industrial developer, has leased all three commercial units at its 55-acre park in Nottingham. Panattoni Park Nottingham totals 715,000 sq ft and has direct access to the M1 motorway at junction 26, which will be a key logistics hub for some of the UK’s largest businesses looking to better serve the Midlands and north of England.

The Park consists of three separate commercial units that were built in one phase with development financing for the project provided by LBBW. The largest building, a cross-docked distribution unit totalling 551,031 sq ft, has been let to a global ecommerce retailer. This is the largest letting of a new speculative development in the Midlands this year. The park also contains two other warehouses – at 89,073 sq ft and 75,402 sq ft – which have been taken by Food Innovations, a UK-based manufacturer of home baking products, and logistics specialist Hermes.

Situated in Eastwood on the A610, Panattoni Park Nottingham will offer its occupiers quick access to major road networks connecting central and northern parts of the UK. This strategically advantageous location not only gives HGVs access to nearly 40 million people within four hours’ drive – just over 60% of the UK’s population – but also a straightforward commute for on-site employees.

Simon Jenkins, Development Director at Panattoni, said: We are excited to welcome all new tenants to Panattoni Park Nottingham and have the park fully let. The scheme offers its occupiers versatile space with excellent transport links. Developments like these are essential for the continued growth the UK’s economy, offering strategic support for businesses and employment opportunities for those living nearby.”

Matthew Byrom, Managing Director of Panattoni, added: “Projects like this typify Panattoni’s commitment to the UK market and its ability to meet the needs of businesses across the country. Prior to purchase the land had lacked purpose, having been left unused for some time, but our vision has now breathed new life into the area and secured long-term investment.”

Ashley Walker, Director of Planning & Hubs at Hermes UK, commented: “This site will be key for our expanding operations across the whole of the UK in line with our ambitious growth plans, in response to consumer demand. Panattoni have partnered with us to provide a site that will help us deliver a better service for all of our clients and their customers.”

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