XPO takes 210,000 sq ft in biggest deal of 2023
Melburg Capital has prelet its Voltaic shed at Wakefield 41 business park to XPO Logistics on a 10-year lease to service a contract with manufacturer Saint-Gobain.
The deal marks the largest industrial letting of the year to date in Yorkshire.
Melburg acquired the property off-market in Q1 2022 and quickly embarked on a refurbishment, due for completion next month.
XPO Logistics is a US-based giant with 560 locations globally and annual revenue of $7bn.
Saint-Gobain designs, manufactures and distributes materials and services for the construction and industrial market, generating sales of €51.2bn in 2022.
Andrew Burns, Melburg’s head of asset and development management, said: “The quality of our refurbishment is reflected by the quality of occupier in XPO Logistics. The industrial sector is not immune to wider fiscal turbulence, and it is therefore imperative to understand the operational and sustainability requirements of an increasingly discerning occupier base. This understanding has enabled us to deliver an optimal product at a competitive rental level. We are continuing to organically grow our logistics platform and will soon be making an announcement around a broadening of management services.”
Jack Burgess, Melburg’s chief executive officer, added: “We welcome XPO Logistics and its client Saint-Gobain as partners. The letting validates our data-driven approach to investing – highlighting our ability to identify off-market opportunities within geographies and sectors with an acute supply demand imbalance, and execute quickly when capitalising on pricing dislocations.”
Dave Robinsons, partner at letting agent Cushman & Wakefield, commented: “Melburg’s foresight to identify this off-market opportunity and implement a quality refurbishment of an existing unit on Wakefield 41 Industrial Estate, one of Yorkshire’s prime locations, was key in securing this deal. Furthermore, the significant number of parties and competitive process demonstrates the continued resilience of the occupier market particularly for key product in top tier locations.”
Melburg was advised by Cushman & Wakefield, Avison Young and Burgess Okoh Saunders LLP. XPO was advised by Louch Shacklock & Partners.