The Press and Journal (Inverness, Highlands, and Islands)
Courier finds space to expand
Industrial premises in Aberdeen have been let to postal service and courier company UK Mail amid growing interest in logistics facilities in the city.
Property consultant CBRE said yesterday it had let the building, Unit 2 in Wellington Road Industrial Park, in a 10-year deal on behalf of landlord Merseyside Pension Fund.
UK Mail, part of global logistics giant Deutsche Post DHL, has secured a unit extending to about 20,000sq ft – about twice the size of its facility in Aberdeen – and will move in next month.
The parent delivers and collects more than 3billion mail items and 50million parcels across 220 countries annually.
Its UK business chose to relocate the Aberdeen operation from a smaller unit at the nearby Altens Industrial Estate following business growth.
CBRE associate director Iain Landsman said: “It’s fantastic news that we can confirm the letting by UK Mail, a significant deal in the current Aberdeen property market.
“Across the UK, we’re seeing a rapid increase in demand for strategically placed warehousing from the logistics sector as retailers attempt to satiate consumer demand and e-commerce sales continue to grow yearon-year.
“The downturn in the Aberdeen economy has led to an increase in supply of industrial units, resulting in more choice for occupiers.
“Historically, logistic companies have been outbid to prime locations.
“UK Mail’s new unit is much more suited to their needs than their old unit and I’m sure the business will reap the benefit of their new surroundings.”
Paul Hutchinson, head of property at UK Mail, said: “We are excited to be moving to this new facility and have worked closely with CBRE regarding the refurbishment and fit-out.”
CBRE’s building consultancy team has carried out an extensive refurbishment of the unit.
The work included the renewal of external cladding and the formation of five loading bay doors, as well as the creation of internal offices and a parcel collection reception area.
In total, the landlord has invested £500,000 to refurbish the unit.
A clutch of major distribution firms have been seeking facilities in the city.
Online retail giant Amazon was recently touted as a potential tenant for a major new logistics park on the south side of Aberdeen.
French oil and gas giant Total inked a deal to sell the 20-acre Altens site to Titan Investors, the firm behind the recently completed Silver Fin office development in Union Street.
The value of the transaction was undisclosed but it is understood the 400,000sq ft of development potential involved could be worth more than £50million.
London-based Titan is targeting growing demand for logistics facilities around the UK as shoppers demand faster deliveries for their purchases.