Partner Article

Demand soars for industrial space

Industrial units at Kier Property’s Trade City developments are being snapped up as demand for industrial space in West London grows.

The developer has secured £15.2m of unit sales at two sites in Sunbury and Uxbridge, built under Kier Property’s Trade City banner, which focuses on delivering flexible industrial accommodation for occupiers.

At the £5m Sunbury development, which has just reached practical completion, three of the £137 to £148 per sq ft units have been sold at a combined value of £1.6m, and a further two units are under offer. Kier has achieved 60% occupancy at the 36,490sq ft site before completion.

Solar energy and underfloor heating specialist, Rayotec, has taken the latest two units, totaling 9,343sq ft, on Brooklands Close, with the third to be occupied by cleaning company Specialist Hygiene Services Ltd.

It’s a similar story in Uxbridge, where Kier Property has sold eight units at the 70,000sq ft site, worth £13.6m, and has a further two under offer, bringing the total value to £15.4m. The most recent sales have gone to plumbing and heating merchants Mayling Brothers, who have taken a unit at £134 per sq ft; Kudos Music, which has completed on a £128 per sq ft unit; and USB Group, which has taken a unit at £134 per sq ft; a total value of £1.45m. There are just two units still available.

Development surveyor Adam Courtenay said: “Securing the sales and offers on our developments is testament to the success of our Trade City brand. It gives us the confidence to move onto Phase 2 at Uxbridge, where 120,000sq ft of additional light industrial buildings are planned to commence in June 2013.”

Kier Property recently reported operating profits of £22m, a growth of 44% since last year, which has been bolstered by continuing unit sales under the Trade City scheme.

Charles Thellusson & Co acted on behalf of Rayotec.

This was posted in Bdaily's Members' News section by Rachael Hunter .