Jaguar Land Rover’s 2.94 million sq ft Global Parts Logistics Centre at Mercia Park located at Junction 11 of the M42 motorway in the East Midlands has secured funding to the tune of around £330 million.
Global alternative asset manager Intermediate Capital Group is to fund the facility, which will service 80 countries and Jaguar Land Rover’s aftermarket business, enabling the iconic automotive company to evolve and grow, maintaining its competitiveness in a challenging global marketplace.
The transaction represents Europe’s largest ever single-occupier build-to-suit transaction with ICG partnering with developer IM Properties to deliver the scheme on 20-year leases for each of the five units.
Kevin Ashfield, UK development director at IM Properties, said: “Infrastructure works are now largely complete, so construction can commence. The units will be completed on a phased basis with the last unit due to complete in September 2022”.
There had been talk that the logistics campus would be funded by Korean investors in the summer but it never manifested. It is thought this deal was struck just before Christmas 2020.
Mercia Park near Appleby Magna in North West Leicestershire totals 238-acres and as well as the JLR logistics campus, it is also set to be home to Danish Logistics company DSV’s new 500,000 sq ft logistics HQ in the UK. DSV advised by JLL, purchased 25 acres for an undisclosed sum in October 2020, following planning approval. Colliers CRE acted for IM Properties.
Avison Young acted on the sale of the land to IM Properties in 2016 and advised the developer throughout the planning process.