Yorkshire team secures UKs biggest Enterprise Zone deal
Thursday, 05 July 2012
Barmston Developments, a joint venture between Leeds-based Wilton Developments and Scunthorpe-based Clugston Estates, has secured a deal with Vantec Europe to invest £22.5 million in a 422,000 sq ft distribution facility at Turbine Business Park, Sunderland.
The deal represents the UK's first and largest development to get underway from the latest round of Enterprise Zones and will be the North East's largest pre-sale warehouse building to be built this century.
The new warehouse plays a key role in Vantec's expansion within the UK and will create an additional 230 new posts by 2015 for the company, which already employs more than 800 people in Sunderland.
Turbine Business Park is strategically well located at the junction of the A19 and A1231 between Washington and Sunderland and is next to the Nissan plant, which is just off the A19.
The site, which is serviced and available for immediate development, has outline planning consent, all with Enterprise Zone status for up to 715,000 sq ft of employment space. The site measures 43 acres in total and outline planning consent accommodates warehouse/industrial, office, retail, a hotel and a pub.
Detailed negotiations between Barmston Developments and Vantec Europe began at the start of the year and since then the deal has progressed with speed through the detailed design and specification, planning, tendering and deal stages.
Barmston Developments director Jason Stowe said: "This is clearly fantastic news for everyone concerned. The short timescale that was required to ensure that this project went ahead was a challenge; however our team has worked in tandem with Vantec to ensure that we meet the timescale required.
"We have started on-site and the build programme for the 422,000sq ft distribution facility will be completed by the end of the year, meaning we will have negotiated, secured planning consent, built and handed over the North East's largest pre-sale warehouse all within a 12 month timespan.
"Vantec Europe has a long-standing history in the North East and I'm pleased we have been able to facilitate the company's expansion needs with our development at Turbine Business Park enabling job creation to remain here in Sunderland.
"The proposed warehouse for Vantec Europe will constitute around 50 per cent of our planned development for the scheme, and we have further serviced plots available for other companies wishing to relocate to the region on a site that has excellent infrastructure and communication links."
Vantec Europe provides warehousing and logistics to Nissan Sunderland, Komatsu UK, Birtley and Cummins Engines, Darlington.
Leeds-based GMI Construction has been confirmed as the main contractor on Turbine Way Business Park. Jarrod Best, managing director at GMI Construction, adds: "With a project of this statue and level of investment, we've worked closely with the team from day one to identify crucial milestones. GMI was chosen as the construction partner for our credentials in delivering a fast programme that doesn't compromise on quality. Having built a wealth of knowledge and experience of constructing large industrial schemes spanning more than 26 years, we are delighted to bring our expertise to the table to deliver a world class facility."
The deal means that Barmston Developments will also extend Turbine Way to adoptable standards to connect with the new warehouse.
- Ends -