Click to enlarge.

PLP completes on 3 million sq ft of Amazon fulfilment centres

PLP, the specialist UK logistics developer and investment manager, has completed development of two fulfilment centres totalling nearly 3 million square feet that has been pre-let to Amazon.

 

The first scheme is an 850,000 sq ft distribution warehouse on a 37-acre site in Knowsley Business Park, in the Liverpool City Region. PLP acquired the site in 2018 and the completion and leasing of the development to Amazon is the successful culmination of a 4-year project.

 

The second, a multi-level building totalling 2 million square feet is located at PLP Gateway 45 in Leeds, immediately adjacent to Junction 45 of the M1. The 43-acre site, acquired in 2019, has successfully regenerated a former wastewater treatment works into a key logistics and employment hub.

 

Both warehouses are owned by PLP’s first in a series of develop-to-hold logistics funds, UKLV1, whose majority investor is Ivanhoé Cambridge alongside Peel L&P, Macquarie Asset Management and PLP senior management. UKLV1 is fully allocated with 8,757,806 sq ft of completed and under development prime logistics assets.

 

Earlier this year, PLP announced the formation of its second UK develop-to-hold logistics venture (“UKLV2”), which has over £750 million of investment capacity, in which Ivanhoé Cambridge is the majority investor. When fully deployed, the two ventures will result in PLP having over £2.5 billion of assets under management.

 

Hugh Chesterton, Development Director at PLP, commented: “We are extremely pleased to have concluded the development and regeneration of these two landmark employment-generating projects. Both pre-let developments support PLP’s conviction that well located, urban sites are where modern logistics operations need to be.”

 

Neil Dickinson, Chief Investment Officer at PLP commented: “These two fantastic developments represent several years of hard work bringing them to completion. We are proud to have these two fantastic Amazon fulfilment centres let on long-term institutional leases in our portfolio, underpinning the hugely successful deployment of capital in our UKLV1 fund.”

 

Richard Saul, Head of Asset Management, UK at Ivanhoé Cambridge, said: “Alongside the success of delivering both of these exemplar developments we are delighted that such large developments will bring tangible benefit to the communities in which they are situated. We are also delighted to have worked with PLP to provide our partner, Amazon, the facilities in the UK which will set new standards in terms of ESG with initiatives such as 100% photovoltaic roof cover at PLP Gateway 45.”

 

Winvic Construction Limited was the main building contractor on both schemes.

 

CBRE and Gent Visick were leasing agents at PLP Gateway 45. JLL and B8RE were leasing agents for PLP Knowsley.