Amazon is understood to have has secured a new style delivery depot on the Peterborough Gateway in the East Midlands.
The distribution centre is 146,700 sq ft and will be situated on an overall area of 41.44 acres, which translates into a low site coverage of 16%.
The facility boasts a bespoke three-storey van deck of 847 spaces for an electrical vehicle fleet. The warehouse will have 72 launch bays, 72 waiting bays, 11 loading dock doors, 1 loading door to waste platform and 7 level access doors. Moreover, there will be an extensive 40 metre yard and clear height to eaves of 10 metres.
Amazon has signed a 15-year triple net, fully repairing and insuring lease on the facility which is being funded to the tune of estimated £41.3 million (including £7.32 million for the land) from South African property investor Equites through its joint venture with Newlands Developments.
The deal will commence on the estimated development completion date next October. An initial rent has been agreed at £2.35m a year reflecting an initial yield of 5.68% after payment of all costs, fees, and profit shares. Equites said on completion it would wholly own the new facility.
This is Equites’ second development deal to arise from its partnership with UK property developer Newlands, which is aimed at acquiring land and funding development opportunities using Equites’s financial resources. Equites International owns 60% of the joint venture.
Amazon recently reported that they had invested over £18 billion in the UK economy since 2010 and intended to continue investing in the region.