Joint venture to fund speculative logistics facilities

A joint venture featuring an international real estate firm has agreed to forward fund the creation of new logistics facilities at four East Midlands business parks – including three in Derbyshire.

Along with its joint venture investment partner, Hines will fund the speculative development of 772,000 sq ft of logistics facilities spread across Derbyshire’s Dove Valley Park, Birchwood Business Park and Castlewood, as well as Fairham Business Park, in Nottingham.

All of the business parks are owned by Clowes Developments. The joint venture has acquired the freehold of all the sites from Clowes, which will develop all the facilities.

International real estate firm Hines, with its joint venture investment partner, is to forward fund speculative development at four East Midlands business parks owned by Clowes Developments.

Construction work will begin with immediate effect with units ready for occupation by the end of 2022.

Greg Cooper, managing director and head of industrial and logistics at Hines UK, said: “This was a particularly attractive opportunity given the scarcity of new stock arriving on the market, which continues to see unprecedented tenant demand as the volume of transactions continue to soar, particularly for modern and fit-for-purpose units.”

James Richards, director at Clowes Developments, said: “This deal marks another significant transaction in what is set to be a record-breaking year for the group.”