LondonMetric is looking to develop up to four regional distribution warehouses on a 40 acre site at Bedford Link at a cost of £60 million.
Works are to begin soon, and construction is set to start in Summer 2018.
The site, which has planning permission for 670,000 sq ft of space, is situated next to Marsh Leys Business Park where Argos, Sainsbury’s and Asda all have warehouses.
“We are pleased to be in a position to commence infrastructure works, reinvesting proceeds from our recent disposals,” said Andrew Jones, chief executive of LondonMetric. “We are still unlocking value within this area of the market and will continue to target yields on cost materially above current investment yields.
“The supply of Grade “A” distribution space remains highly constrained, which is reflected in the quality of our ongoing discussions with potential occupiers.”