Network Rail is to open a 300,000 sq ft national distribution centre on the site of the former Peugeot plant at Ryton in the West Midlands.
The site is being acquired from ProLogis and it is anticipated that the £25m distribution centre will open in July 2013 to act as a hub for Network Rail’s National Delivery Service.
It will replace three existing leased sites: Lichfield, Worcester and Ludgershall.
Martin Elwood, director of Network Rail NDS, said: “Network Rail’s first preference is to transport goods by rail. This is not always the right solution so we have an extensive road fleet to transport goods and equipment to our work sites and depots. By bringing the logistics for this together at Ryton we can offer a more effective and efficient service for Network Rail. This will mean reduced costs and faster turnaround times when we do work on the railway.”
Peugeot closed the plant on the site in 2006. Originally it produced aircraft engines during the Second World War. The new building has been designed to be BREEAM rated.
Network Rail had previously narrowly missed out to Formal Investments together with occupier Steinhoff for the Hydro building at Magna Park.
* ProLogis has also acquired an adjacent 33 acre site from Ryton Properties Ltd, extending Prologis Park Ryton to a total of 98 acres. Prologis Park Ryton is also one of the locations which Prologis is offering its recently launched five year build-to-suit initiative. The offer includes fit-out and because it is available on prime ProLogis sites that already have detailed planning consent, new facilities can be fully operational within 10 months.
Andrew Griffiths of ProLogis said: “With the supply of standing stock in such short supply, we are aware of the importance of having strategic and deliverable land opportunities available to offer customers on a build-to-suit basis. The acquisition of the extension land allows us to offer a broader range of development opportunities to our customers within a high quality business park environment.”
Jones Lang LaSalle, Gerald Eve and North Rae Sanders acted for ProLogis.
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