A leading commercial property developer and investor has begun work on its latest industrial project in the North East of England.
UK Land Estates has started work on the development of L7, a 73,000 sq ft hi-spec industrial and distribution unit on the Tyne Tunnel Trading Estate.
Just a short drive from the A19 and Tyne Tunnel, the building is being built to the highest of standards, delivering an EPC A-rating, a rooftop photovoltaic array and space for several electric vehicles.
STP Construction Limited is leading on the construction of the development, undertaking all civil engineering works through its in-house workforce. Partnering with a host of local suppliers, including Thompsons of Prudhoe, Philadelphia Structures, CCS Cladding, Mathew Charlton, ME Electrics and Volts, the project has a number of local design partners including Faulkner Browns, Portland Consulting Engineers and Kinetic, all of whom are supporting the multi-million-pound project.
Upon its completion in February 2025, the development will provide 72,898 sq ft of flexible industrial and/or warehousing space, including 5,955 sq ft of offices.
Tim Witty, development director at UK Land Estates, said: “It’s great to see work commencing on this significant development which will bring more much-needed high-quality industrial space to the market.
“Tyne Tunnel Trading Estate is perfectly positioned just a short drive from the Port of Tyne and A19, making it an incredibly attractive proposition for any growing businesses seeking to invest in the region, so we’re confident it will generate plenty of interest.”
UK industry is currently suffering from a dearth of available, high-quality industrial and warehousing space, with the vacancy rate for logistics properties in particular having been stuck at sub 2% for the last five years, according to global real estate specialist, CBRE.
This shortage – which is especially prevalent in the North East – has inspired UK Land Estates to submit numerous planning applications for new industrial development across the region over recent months.
Tim added: “L7 is just one of a number of speculative industrial developments we’re hoping to bring to market over the next 12 months
“While developing property speculatively has in the past been seen as something of a risk, the chronic shortage of vacant high-quality industrial space across the UK has created a significant need for new accommodation to be developed and hopefully these projects can go some way to easing this strain on the sector.”
The property is being marketed by the Newcastle offices of Knight Frank and Savills. Businesses interested in finding out more about the development or expressing an interest are being invited to contact Mark Proudlock at Knight Frank or Richard Scott at Savills.
For more information on UK Land Estates, visit: https://www.uklandestates.co.uk/