UK Land Estates to invest £35m in North East industrial sector
The developer is looking to construct more than 270,000 sq ft of grade A warehousing throughout 2025/26, and has set aside £12m to refurbish several units across its existing business parks.
The new-build developments will all be speculative, including 200,000 sq ft at its Team Valley, Gateshead park and 25,000 sq ft at the Teesside Estate.
UK Land Estates is also currently in the process of securing outline consent for a further 600,000 sq ft across its estates.
The investment drive follows a £20m outlay by the company last year, which saw five new units constructed at Team Valley Trading Estate, Teesside Estate, Nelson Park Industrial Estate, and Tyne Tunnel Trading Estate, including a 73,000 sq ft shed at the latter.
Keith Taylor, managing director of UK Land Estates, said: “There is still a supply and demand imbalance in the region for high quality, well located industrial space, evidenced by our recent building programme and successful leasing activities.
“Last year, we brought several new units to market, ranging from 9,000 to 72,000sq ft, to fit a range of industry sectors and sizes and the team delivered a superb product, with most letting on or before practical completion.
“With all of our speculative schemes benefitting from both B2 and B8 consents, the flexibility caters for the increased demand for logistics and warehousing space as increasing numbers of businesses shift to trading online, but also the region’s growing advanced manufacturing and engineering industries…
“We are one of the few developers that continue to speculatively build in the region, irrespective of some of the macro-economic challenges that face the industry.
“We own our land and have a team that can deliver quality buildings for business, creating new and refurbishing stock on existing estates where there is currently facility and infrastructure mitigates risk, while allowing us to assist our current tenant base with their
business demand.”
