Chancerygate and Hines have launched a new strategic joint venture to develop multi-let urban logistics schemes.
The joint venture, which is being funded by Hines European Real Estate Partners III (HEREP) and has more than £1.3bn of equity commitments, has completed its first deal with the acquisition of a site in Oldham.
Chancerygate and Hines acquired the 7.5-acre site from FO Developments – a consortium comprising Oldham Council, Grasscroft Property and Seddon Developments – for an undisclosed sum.
The joint venture partners intend to speculatively develop 166,500 sq ft of Grade A sustainable urban logistics space on the site, which is located at Broadway Green on the Lydia Becker Way spine road in Oldham.
Subject to planning, the circa £39m GDV scheme will comprise 18 leasehold units ranging from 4,700 sq ft to 20,500 sq ft.
Richard Bains, managing director of Chancerygate, said: “Our first joint venture partnership with Hines was extremely successful in delivering strategically located multi-let urban logistics schemes across the UK. We forged a highly effective working relationship during that time, so we are excited to once again partner with Hines to deliver Grade A, sustainable accommodation where it is most needed.”
Greg Cooper, managing director and head of UK industrial and logistics at Hines, added: “We are pleased to be extending our partnership with Chancerygate through this venture as we continue to scale our multi let urban logistics platform throughout the UK. The partnership will be well placed to meet HEREP III’s objective to execute the development of modern sustainable multi let urban logistics product in strategic urban distribution nodes.”
Chancerygate and Hines were advised on the Oldham acquisition by Davies Harrison. FO Developments was advised by JLL. Davies Harrison and JLL have been appointed as lettings agents for the development.
