Agents pick the most significant Deals (for the six months to the end of October)
Crosspoint 33, Wakefield
Type of deal Logistics prelet
Developer Caddick Group
Tenant TK Maxx
Funder Tritax Big Box REIT
Size 1.4m sq ft
Investment £100m
Chosen by Mike Dove, partner, Dove Haigh Phillips
This deal, which brings in a world-class occupier, TK Maxx, is a step-change transaction for the prime M62/A1 corridor in West Yorkshire. I believe it demonstrates the true potential of the area where high-quality, accessible logistics and manufacturing sites are now available, close to final markets and a skilled labour force.
It also serves to highlight how occupiers are exploiting the cubic capacity of large-format buildings. In this situation, a gross internal floor area of about 635,000 sq ft is being provided by Caddick. There will then be further tenant installations of three mezzanine floors, which will create an additional 765,000 sq ft of useable space. The building, which has been forward sold to Tritax, delivers several benefits for the area. When it opens in 2017, it will provide 1,800 much-needed jobs. Its letting to TK Maxx has also enabled a phase 2 development for up to 600,000 sq ft to go ahead.
Former RAF Church Fenton site, near Tadcaster
Type of deal Letting
Developer Makin Enterprises
Leaseholder Mammoth Productions
Size 60,000 sq ft
Price Undisclosed
Chosen by David Aspland, partner, Carter Jonas
The letting of a 60,000 sq ft production facility and studio space at the former RAF Church Fenton site to Mammoth Productions was of major importance to the region. The deal supported the formation of the Yorkshire Film Studios, a scheme that promises to “breathe new life” into the Selby district. The lease also endorsed the confidence that site owner Makin Enterprises has shown in the 460-acre plot, which incorporates 120,000 sq ft of accommodation.
This deal has attracted regional and international interest from the film industry, creating a whole new sector for the region. Recently, it was announced that Victoria, an eight-part drama that looks at the early life of Queen Victoria, will be shot at the new studio space. It also saw great interaction between the public and private sector, with Makin Enterprises, Screen Yorkshire and Selby district council, among others, all working together to make this happen.
John Lewis Distribution Hub, Logic Leeds, West Yorkshire
Type of deal Forward funding sale
Developer Muse Developments
Funder AXA UK Long Lease Property Fund
Occupier John Lewis
Size 50,500 sq ft customer delivery hub, including 4,000 sq ft of offices
Terms £6.2m (sub-5% yield)
Chosen by Graham Foxton, investment partner, Knight Frank
I have chosen this deal because it underlines both the attraction of a brand-new distribution warehouse, occupied by an iconic name,
and also the renaissance of interest in Yorkshire as an investment
location.
It is one of the most significant investment deals in Yorkshire this year, with a record yield for a prime, mid-size industrial property.
It is a testimony to the quality of John Lewis as the tenant and the strength of its covenant, as well as the location and reputation of Logic Leeds itself.
Work has now started on the state-of-the-art distribution warehouse, with completion scheduled for spring next year, at which time John Lewis, which has signed a 20-year lease, will create 65 jobs.
This investment deal, which enabled it to happen, demonstrates the buoyancy and strength of Yorkshire’s commercial property market.
AXA’s UK Long Lease Property Fund is a major national fund, so it is tremendous news that it has invested in Leeds.
People, planning and peculiarities
No slowdown for LSH in 2016
The Yorkshire team at Lambert Smith Hampton must feel their feet have hardly touched the ground this year. It kicked off with LSH’s acquisition of Tushingham Moore and ES Group, which it says has given it the largest agency footprint across the five core Northern Powerhouse cities. New office relocations followed in Sheffield, and then Leeds. Now the company has announced it will be the headline sponsor of the first-ever UK Northern Powerhouse Conference and Exhibition in 2016.
Mack joins Gent Visick
Leeds-based Gent Visick has appointed former DTZ director Paul Mack as director of agency as it embarks on further expansion
Hallelujah for broadway opening
Crowds that gathered to see the opening of the £260m Broadway shopping centre in Bradford were serenaded by Alexandra Burke with her signature song Hallelujah – a suitably triumphant choice for the once-doubtful retail development. The Broadway project, built by Westfield and now owned by Meyer Bergman and partners, was born in 2004 but mothballed in 2008 as a victim of recession. However, Kersten England, the new head of Bradford council, said: “Some people really kept their faith in the project.” And Westfield, with £80m already committed to the scheme by then, was one of them. As Duncan Bower, director of development, confirmed: “We never stopped believing.”
Shoppers welcome mall openings
There may have been slightly less fanfare but there was equally welcome news in Beverley, where Wykeland Group opened its Flemingate centre and in Leeds, where LondonMetric Property unveiled its Kirkstall Bridge shopping park.
Sheffield clubs kick off ground plans
Arch rivals Sheffield Wednesday and Sheffield United football clubs are both seeking to up their game with planned improvements to their grounds. Wednesday has been given consent by Sheffield city council to increase the size of its gym, while United has told planners it is keen to get started on an overhaul of its Bramall Lane ground.
Harrogate tops happy index
It was third time happiest for Harrogate, which again came top of Rightmove’s annual Happy Index. York also featured in the top five locations, ranked by 25,000 people on 12 factors of life including value, costs and amenities.
Leeds take-up leaps 25%
Office take-up in Leeds was being predicted to reach around 600,000 sq ft, a 25% increase on the five-year average, by the Leeds Office Agents’ Forum, following further healthy levels of activity in Q3.
Sheffield in devolution deal
Chancellor George Osborne agreed a devolution deal to create the Sheffield City Region, with an elected mayor and responsibility for transport budgets, bus services and strategic planning.
Urban Village approved
In Bradford city centre, Canal Road Urban Village secured consent for its £150m New Bolton Woods development of 1,000 homes and mixed-use facilities.
Keyland unlocks scheme
Keyland Developments is drawing up proposals for a 700,000 sq ft scheme at Wakefield East, mainly comprising offices and industrial accommodation, to help address a shortage of employment space in West Yorkshire.
Sheffield is gazumping capitalSheffield leapfrogged Brighton to become the main centre for gazumping, with one in three buyers being affected, according to a study by eMoov.
A watch list of the world’s most endangered sites, published by the World Monuments Fund, included the Grade 1-listed Wentworth Woodhouse, near Rotherham, which was up for sale for £8m but in need of extensive work due to subsidence.
EG gauges the trials and tribulations of Yorkshire property market
