Tritax Big Box REIT has announced that it has exchanged conditional contracts to purchase a development site at Littlebrook, Dartford. The freehold of the former Littlebrook Power Station site has been acquired, for a total consideration of £65million (excluding purchaser’s costs), which is being funded by the Company from equity.
Good access to rail and road
Tritax says that the site occupies a prime location within the M25 motorway and adjacent to the Dartford Thames River Crossing, providing the opportunity for the efficient distribution of goods across London and the home counties. With the Queen Elizabeth II Bridge and Dartford Tunnel to the east, the site has easy access via J1A to the M25 Motorway and the wider national motorway network. The site also has excellent rail and port connectivity.
Site capable of supporting 1.7m square feet of logistics distribution buildings
The site, the location of a former power station which was decommissioned in 2015, extends to approximately 124 acres. Tritax says that the entire site is capable of supporting the potential development of approximately 1.7 million square feet of logistics distribution buildings, including several Big Box logistics facilities of over 400,000 square feet, together with some ‘smaller urban logistics facilities’. Part of the site benefits from existing B8 use class (storage and distribution) planning consent for c.517,000 square feet of the expected c.1.7m square feet total.
Intention to apply for planning consent
Tritax says that, working in partnership with “one of the leading specialist logistics developers in the UK, Bericote Properties”, it intends to apply for planning consent for the remaining land. It says that the site will be developed in phases, with site preparation costs estimated at circa £25 million.
Construction on a pre-let basis
The construction of new buildings will commence on a pre-let basis and the Company will retain the developed investment properties to further enhance its existing investment portfolio. The Company aims to be able to commence building construction by Autumn 2018 and, working alongside Bericote Properties aims to deliver on a pre-let basis one of London’s largest Big Box logistics parks inside the M25 motorway.
Big Box distribution buildings within the M25 are scarce
Colin Godfrey, Partner of Tritax, says that, “Large strategic sites for Big Box distribution buildings within the M25 are scarce and are in strong demand from occupiers. The site is capable of supporting several Big Box distribution facilities as well as smaller urban logistics facilities for serving the London and South East markets in particular”.
Tritax Big Box REIT to acquire 124 acres at Littleberook, Dartford for £65m : BBOX