Gazeley, global provider of sustainable logistics space, has kick-started 2010 with a deal to develop a state-of-the-art warehouse at G.Park Crick, one of the most sought-after distribution parks in the Midlands, which will be forward funded by investment manager Legal & General Property (LGP) on behalf of its Managed Pension Fund.
The warehouse will provide the Headquarters for Butcher’s Pet Care’s UK operations, as well as a manufacturing and distribution facility for the Company which currently occupies a building on another part of the site. The deal will see Butcher’s Pet Care Ltd, the leading UK family owned dog food business, take on a 20-year lease.
The 260,000 sq ft warehouse will be situated on strategically located G. Park Crick, a 95 acre site close to the M1 in the heart of the logistics ‘Golden Triangle’ which can access the majority of the country within a 4.5 hour drive time.
Bruce Topley, Development Director at Gazeley, comments, “It is fantastic to be starting 2010 on a high note with a major deal delivering a bespoke manufacturing and distribution facility in the UK. We hope to announce further pre-lets as the big shed market starts to pick up after a period of very little activity. We are really pleased the Gazeley Team can offer Butcher’s the bespoke solution they require. Gazeley’s trusted record in delivering to customers the very best in, sustainable logistics warehousing within tight time frames, is key to our ongoing business success. This transaction delivers the infrastructure to release the balance of the site where we can deliver up to1.1M sq ft in a single unit for our customers”.
Charlie Walker, Senior Fund Manager at LGP commented “We are delighted to be funding this opportunity with Gazeley, following the recent successful funding of the John Lewis distribution facility in Enfield at the end of 2009. The opportunity reflects the Managed Fund’s continuing strategy to secure investments withexceptional location, specification and income profile. Development fundings are once again offering value to investors in a stock starved market –providing the edge on yield which had all but disappeared in the bull market. Institutions can provide a natural partner in a reluctant banking environment.”
Work on the £38m project will begin on the site in April2010 and it will be operational in 2011.
Graham Baker, Founder of Butcher’s Petcare Ltd added “We have a small but successful continental European business and believe our investment in UK manufacturing over the coming years will support a growing export business. We will produce around five million cans a week in our new facility to meet this growing demand. Butcher’s has always wanted to keep our business in the Midlands where local people have helped us to grow the company to what it is today.”
As is standard for Gazeley projects, the warehouse at G.Park Crick will be developed with sustainability at the heart of its design. It will incorporate a number of environmental measures, such as rainwater harvesting and recycling, energy efficient lighting, solar panels, low water use appliances and the use of FSC approved timber.
M3 and CBRE acted for Gazeley on the letting
M3 represented Gazeley on the investment funding
Burbage Realty acted for Butchers Pet Care Ltd
Knight Frank acted for Legal & General Property.
-ENDS-
For further information please contact:
Ruth Barley at Lexis PR – rbarley@lexispr.com (0207 9086451)
Kate Nottidge at Lexis PR – knottidge@lexispr.com (0207 9086518)
Niki Wheeler at Launch Group – nikiw@launchgroup.co.uk (0207 758 3913 /07941 847 390) for Butcher’s
Dido Laurimore/ Olivia Goodall at Financial Dynamics forLegal & General Property – Olivia.goodall@fd.com(020 7269 7171)
Notes to Editors
About Gazeley
Gazeley is a global provider of sustainable logistics space.To date it has built over 60 million sq ft (5.6 million sq m) of quality warehouses and distribution parks across the globe.
The company is part of Economics Zones World (EZW), a Dubai World company; Gazeley is integrated into EZW’s vision of being the leading global provider of sustainable industrial and logistics infrastructure. Gazeley has a global reach, giving them the opportunity to serve customers both locallyand globally.
The company provides state of the art buildings to accommodate some of the world’s largest companies and third party logistics operators. Customers come from across the retail, manufacturing and pharmaceutical sectors including Asda/Wal*Mart, BT, John Lewis, Procter & Gamble, Toyota, Volkswagen, Morrisons and DHL, Geodis, Norbert Dentressangle.
Gazeley has consistently built efficient, sustainable warehousespace reducing considerably its customers operating costs and improving the performance of their facilities. The recent development for Wm Morrisons Supermarket PLC at Sittingbourne will deliver carbon savings of 585,830kg per year through a range of eco-friendly technologies including solar heating, a grey water system, vertical wind turbines and efficient lighting control systems.
In 2009 Gazeley has won a multitude of Sustainability Awards including the ‘Best Sustainable Development’ at the LEAF Awards, Industrial Agents Society Awards, UK Commercial Property Awards and HANSE Globe.
For further information please visit www.gazeley.com
About Legal & General Property
Legal & General Property (LGP) is a wholly-owned subsidiary of Legal & General Investment Management (LGIM).
LGIM had funds under management of over £311bn as at the end of September 2009. Legal & General Property manages or co-manages 15 separate Funds and a segregated mandate with an aggregate asset value of over £7.3bn as at end September 2009, including ten limited partnerships:
• Industrial (IndustrialProperty Investment Fund)
• Regeneration (EnglishCities Fund)
• Shopping Centres (PerformanceShopping Centre Partnership /
WarringtonRetail Limited Partnership)
• Leisure (TheLeisure Fund Limited Partnership)
• Mixed Use/Retail (BracknellRegeneration Partnership)
• Business Parks (ArlingtonBusiness Parks Partnership)
• Distribution Warehouses (UKLogistics Fund)
• Regional Offices (ARCProperty Fund)
• West End Offices (CentralSaint Giles Partnership)
LGP is also responsible for managing seven pooledproperty funds, including the property portfolio of the Legal & GeneralAssurance Society, which includes major development opportunities inLondon (Walbrook Square and Central Saint Giles), retail developmentopportunities in Bracknell, Northampton and Warrington, together with businesspark opportunities in the M4 corridor and Manchester.
Legal & General Property Limited. Registered address: One Coleman Street,London EC2R 5AA. Registered inEngland 2091897.
About Butcher’s Pet Care
Butcher’s is the second largest player in the UK dog food market.
It is a family owned British business from the heart of the farming and meat industries in the Rugby area. Since 1987 the company, famous for its strapline, ‘Fit as a Butcher’s Dog’ has built a turnover of £65m and a staff of 200 people by feeding generations of British pets.
Butcher’s products are stocked by all major multiplesincluding Sainsbury’s, Tesco, Asda and Morrisons as well as suppliers in theindependent marketplace.