Hines relies on 1.15 million ft2 of logistics space in the East Midlands

Global real estate investment, development and property manager Hines is set to develop 1.15 million ft2 of new logistics space in the East Midlands for long-term growth by expanding its joint venture with UK property developer Clowes.

Hines said the move was in response to continued demand from global occupiers looking for space in the UK. The joint venture intends to develop eight units totaling 1.15 million square feet in four projects in the East Midlands during 2023.

The units are developed to high specifications and aim for the BREAAM certification “very good”. EV charging infrastructure will be installed across the portfolio and the units are designed to support the installation of solar panels.

The new facilities will serve the high demand Hines is experiencing among tenants seeking logistics space in areas with limited supply. Greg Cooper, Managing Director at Hines, commented: “Within our network of client and tenant relationships we continue to see strong nationwide tenant demand and the Golden Triangle offers fantastic access to the whole of the UK within 4 hours drive, cutting it out of one outstanding location.”

James Richards, Director at Clowes Development, added: “The expansion will unlock new opportunities within the UK’s logistics ‘Golden Triangle’, as well as in other locations that benefit from strong transport links and favorable local drivers of supply and demand.”

This initiative increases the initial commitment to provide 772,000ft2 of logistics space across four UK business parks, reached in September 2021.

Around 195,000 square feet of space has already been supplied by the joint venture at Dove Valley Park in South Derbyshire. The remaining units under development by the joint venture will be completed during 2023.

BentallGreenOak provided the acquisition and development financing packages and Geldards LLP represented Clowes Developments in the transaction.

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