The opening of the new £82m Hitachi Rail Facility earlier this month has coincided with the estates biggest letting of 2015, heralding a shortage of industrial and warehouse space on the 700 plus acre estate, according to Teesside commercial property agent Connect property North East (CPNE) who formed earlier this year to provide investment and occupational advice across the North East.
On behalf of MSeven Real Estate, CPNE have successfully negotiated the letting of 2-5 Central park comprising of a 50,000 sq ft warehouse to Vantec Europe, representing the estates single biggest letting in 2015. With the agreement to lease having now been signed, the landlord is due to complete a major refurbishment programme to coincide with the letting of unit 6 to Ceva Logistics that took place earlier this year. Work is due to complete shortly enabling both tenants to take occupation later this year.
Jonathan Simpson, Director of CPNE commented “these two lettings are significant evidence that both rents and demand have moved on during the middle part of 2015”. The issue moving forward now is the limited availability of stock both in Aycliffe and the wider region. As far as Newton Aycliffe is now concerned there is a real shortage of industrial stock. This is a huge testament to both the improved market and the continued commitment to Newton Aycliffe by a number of proactive landlords and stakeholders on the estate, particularly when you compare it, to say this time five years ago when there was over 1.5 million sq ft of vacant industrial stock on the estate. Furthermore we are hoping to announce two further high profile lettings on the estate shortly, one of which involves the former Holiways Ford garage on Horndale Avenue.
” Our various clients are delighted with the progress that we are seeing at Newton Aycliffe, the 70,000 sq ft Central Park property was due to be vacated later this year by the existing tenant, however due to our market intelligence, we were able to secure its immediate re-letting without the need for a formal marketing campaign.
Perhaps further testament to the estates recent change in fortune has been the owner of Northfield Way’s commitment to a £1,000,000 refurbishment. The estate is made up of 7 terraces and comprising of 130,000 sq ft space in total. This particular estate in recent years has been starved of investment by previous landlords. Works are due to be completed in November and we are already in the process of agreeing several new lettings including the most recent to furniture company RDNL Products who moved into unit 10 at the end of September. Once completed units will be available from 3,000 sq ft upwards, with further information available from joint agents Connect property North East and JLL.
Connect Property North East was formed February this year by Tim Carter with fellow Directors Jonathan Simpson and Andrew Wilkinson joining forces to create the Tees Valleys only specialist Niche commercial Agency Practice to serve the Tees Valley, County Durham and North Yorkshire. Further information is available at www.cpne.co.uk.