£27m contract to build Tesco’s giant Reading DC

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Tesco has awarded a £27 million contract to Vinci Construction UK to design and build its 84,000 sqm (900,000 sq ft) ambient distribution centre at Whitely in South Reading.

It will be built on the site of a former Heineken brewery overlooking junction 11 of the M4. It will include a vehicle maintenance unit, a vehicle wash and refuelling facility and a gate house. The building works will be completed to BREEAM standards and will emit 34 per cent less CO2 than the levels imposed by the 2010 building regulations.

Tesco originally wanted to build an 800,000 sq ft distribution at Andover, but the plan was thwarted by a local anti-megashed campaign. Following that it was revealed in March that the company was believed to be in negotiations with Scottish & Newcastle for the disused Berkshire Brewery site at Worton Grange in Whitely.

It got planning permission for the Reading development in September.

“We are absolutely delighted to continue our excellent relationship with Tesco Stores Ltd on this project. It is particularly pleasing to be working on a project that, once completed, will provide in excess of 1,000 employment opportunities to the local area,” said Chris Pape, Vinci’s managing director building division – Midlands, South West, Wales and Retail.

The project will be carried out by the Retail and Interiors Division of Vinci Construction UK.

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