The Co-operative Estates has completed one million sq ft of industrial property sales in 2013, including disposals and lettings across a portfolio of 18 units.
At the end of 2012, The Co-operative Estates embarked upon a strategic programme to modernise its logistics network, which involved the sale and re-letting of an 18-strong group of properties as well as several individual assets, predominately in the South West, the Midlands and Scotland.
A dedicated website was established and Estates instructed industrial and logistics specialist property advisors Colliers International and GVA to actively market the warehouses. In total, in excess of one million sq ft have been disposed of or are under offer..
The properties include:
• Dunfermline, 260,000 sq ft – sale to FMC Technologies Ltd
• Dunfermline, 19,937 sq ft - sale to Adamson’s Drinks
• East Kilbride, 203,732 sq ft - sale to Premier Pan European
• Harthill, Lanarkshire 98,972 sq ft – lease surrender
• Bradford, 118,000 sq ft unit - let to CSM (UK) Ltd
• Bridgwater, Somerset, 43,000 sq ft - let to Hermes Parcelnet Ltd
• Wellington, Somerset, 178,000 sq ft - let to Rigid Containers Ltd
Geoff Player, Director of Commercial & Investment Property at The Co-operative Estates, said: “The disposals programme has progressed extremely well, with seven sites let or sold in just over eight months and discussions developing well on two more properties.
“The sheds are in prime locations throughout the country and appeal to a range of distribution and industrial occupiers. The fact that the portfolio provides a mix of ambient, chilled and frozen space has made them more attractive.”
Steve Mitchell, Director of Industrial & Logistics at Colliers International, said: “There are severe declining stock levels in the industrial market at the moment so this portfolio comprising good quality secondary stock made for an excellent proposition to occupiers and buyers. Our data shows that 10 out of the 11 regions in England, Scotland and Wales have witnessed a fall in available stock in the last three years; the East Midlands South East and South West have 19% less stock available and this is up to 22% in Scotland.”
The disposals and lettings are part of The Co-operative Group’s change programme around its distribution network, which by the end of 2013 will have seen it close 21 sites.
It will have a network consisting of one National Distribution Centre for slow moving grocery lines, eight multi-temperature Composite Distribution Centres and three local service centres.