AEW and Allianz Real Estate have acquired a site for a proposed 760,000 sq ft logistics development on the outskirts of Milton Keynes.
Frontier Park at the interchange of the A5 and A508, a few miles from the M1 in West Northamptonshire, has been acquired by AEW for its logistics venture with Allianz Real Estate, which is acting on behalf of Allianz Group companies.
Full planning permission will be sought for nine units, the largest of which will be 370,000 sq ft. The warehouses will seek an EPC A rating and BREEAM Very Good certification.
Private developer Frontier Estates is expected to begin work on site over the Summer with practical completion due in Spring 2023.
Spencer Corkin, director at AEW, said: “Frontier has a strong track record of delivering market leading developments and we are pleased to work with them on this project. Milton Keynes is a key prime logistics and distribution location with excellent transportation infrastructure and access to high-value markets across the UK and Europe.
“This project strategically broadens and diversifies our geographical footprint, providing exposure to a highly supply-constrained environment with significant occupier demand.”
Hugues Braconnier, head of logistics for Allianz Real Estate, said: “Frontier Park represents the very best in the UK logistics sector and fulfils a tangible need for smart distribution infrastructure.
“The successful deployment of capital underscores the strength and quality of Allianz Real Estate’s sector approach in the UK and our strong desire to build on this momentum.”
Mike Mansell, director of Frontier Estates, said: “Having worked up this project over the last 12 months together with Allianz Real Estate and AEW, we are delighted Allianz group companies have come on board to fund the site purchase and delivery of the scheme in one phase.”
AEW has appointed DTRE and Savills as joint letting agents. TT&G and Mishcon de Reya acted for AEW on the acquisition. DTRE, Sandstone Law and Memory Crystal acted for Frontier Estates.
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