Landmark joint venture to create more logistics space

A joint venture between Clowes Developments and a real estate investment company has been expanded to support the creation of 1.15 million square feet of logistics space across the East Midlands.

Clowes will work with Hines to create the extra space in response to continued demand from global occupiers.

The expanded joint venture will fund the development of state-of-the-art warehousing across eight units.

It increases an initial commitment to deliver 772,000 sq ft of logistics space across four UK business parks, which was reached in September last year.

Almost 200,000 sq ft has already been delivered by the joint venture at Dove Valley Park, in South Derbyshire.

The remaining units under development by the joint venture will be completed during 2023 and includes plots at Fairham Business Park, EMDC, and Castlewood Business Park.

James Richards, director at Clowes Development, said: “This expanded partnership with Hines will allow us to continue to collaborate to develop best-in-class warehousing at well located sites across the East Midlands.

“The expansion will unlock new opportunities within the UK’s logistics ‘golden triangle’, as well as in other locations benefiting from strong transport links and favourable local supply and demand drivers.

“We are confident that our teamwork and close collaboration will continue to bear fruit.

“As with any large-scale transactions of this nature, teamwork is essential.

“Deals like this come with a wealth of complexities, which require a keen eye and attention to detail to ensure all aspects are executed properly.

“We have small group of experts here at Clowes who ensure we achieve compliance and diligence at all levels.

“I would also like to thank our legal team at Geldards for all their hard work and commitment to getting this deal over the line.”

Heather Dixon, partner at Geldards, said: “We were delighted to continue our productive relationship with Hines and Clowes and complete the complex funding deal that now enables this exciting development to progress.

“As the UK economy begins to rebuild and transform, logistics and warehousing will become a critical driver for growth.

“These new developments, delivered through an ambitious and driven collaboration puts the East Midlands at the heart of this transformation and delivers the infrastructure needed for the region to become a driving force for growth and innovation.”