Developer to invest £46.5m to create new Derby business park

St. Modwen Logistics has announced it will invest £46.5 million to create a new business park in Derby, which could create up to 1,250 jobs.

The firm, which is a leading logistics developer and manager, is to regenerate the 67-acre brownfield site on Wyvern Way, adjacent to Pride Park, to create St. Modwen Park Derby.

The development will deliver over 850,000 sq ft of logistics and warehousing space – with St. Modwen set to start work on the first four units.

The announcement is the culmination of seven years’ work between St. Modwen Logistics, Derby City Council and Network Rail.

Polly Troughton, managing director at St. Modwen Logistics, said: “St. Modwen Logistics is committed to investing in regeneration projects with the aim of supporting local economic growth and generating jobs for local communities.”

Councillor Steve Hassall, the city council’s cabinet member for regeneration, decarbonisation and strategic planning and transport, said: “This is yet another excellent example of investment confidence in our fantastic city.

“It demonstrates that Derby is not only open for business, but is fast becoming the go-to location for businesses who can see the huge potential of operating from here.”

John Forkin, managing director of Marketing Derby, said: “This is a massive vote of confidence in Derby, evidenced by both its scale – £46.5 million – and the fact that St. Modwen is prepared to build 300,000 sq ft immediately on a speculative basis.

“This quality commercial park will form an important part of the pitch that Marketing Derby makes to potential investors and we look forward to supporting commercial agents in landing end-users.”

The first phase of St. Modern Park Derby will comprise investment of £46.5 million to acquire land from joint venture partner Network Rail and deliver the first four logistics units, which will total 303,000 sq ft.

Those units of 39,000 sq ft, 54,000 sq ft, 79,000 sq ft, and 131,000 sq ft will be built speculatively and are due to be completed and ready for occupation in September 2022.

The second phase is expected to follow within the next two years and will deliver the remaining 550,000 sq ft of warehouse space, completing the transformation of the site.

Following the recent completion of the A52 Wyvern Transport Improvement Scheme, St. Modwen Park Derby will give future occupiers prime access to Derby city centre, as well as the A50 and Junction 25 of the M1.

Councillor Hassall said: “We are delighted to see St. Modwen bring forward this key employment site to the city.

“The land has been sitting empty for some time and will soon undoubtedly provide a very attractive option for businesses in the region, with easy access to Derby city centre, as well as the A50 and M1.”

According to St. Modwen, the Derby development will offer its most sustainable warehouse space to date.

It will showcase the St Modwen Swan Standard – a set of industry-leading sustainable development guidelines, with a focus on responsible building practices and the needs of its customers and employees.

The park will target BREEAM Excellent standard, demonstrating significant investment and innovation in sustainability above current regulation and practice.

Each unit is to come complete with a photovoltaic (PV) system, and combined with enhanced building fabric, building services and on-site generation, is expected to achieve over 50% carbon reduction compared with energy requirements set out in the UK Building Regulations.

The park will also feature a number of health and wellbeing enhancements.

They include a fitness trim trail, landscaped areas with outdoor seating for customers’ employees, riverside walks, and a cycle path.

Biodiversity and sustainable environments will also be integrated into the park.

Polly said: “Through the development of this high-quality warehouse space, underpinned by our ESG commitments and the needs of our customers, we hope to welcome new and existing businesses to St. Modwen Park Derby and look forward to seeing them grow and thrive here.”

Gary Walsh, route director at Network Rail East Midlands, said: “We have been working closely with St. Modwen Logistics over recent years to bring this brownfield site forward for redevelopment.

“We’re delighted to have concluded the sale of the land to St. Modwen and look forward to seeing our joint vision come to fruition over the coming year.”

To find out more about St. Modwen Park Derby please click here.