Logistics firm lets 310,000 sq ft to JLR supplier

Prologis, the Solihull-based logistics real estate firm has secured a major double letting, the first at its Prologis Park Birmingham Interchange.

International Automotive Components Group (IAC) – a leading global supplier of automotive components and systems – has signed 11-year lease for both buildings on Prologis Park Birmingham Interchange in Solihull.

The units, totalling 310,000 sq ft, are located close to the production site of Jaguar Land Rover (JLR), a longstanding customer of IAC, and will be used solely to service JLR’s requirements.

IAC anticipates full production to begin at the site in 2021 and will create 400 jobs in the region.

The units will be home to manufacturing, assembly and sequencing, in addition to housing certain centralised UK-based functions such as engineering, programme management, commercial, finance and IT.

IAC also plans to invest in highly automated process manufacturing for the site.

“We are a customer-centric company, which is why it was an easy decision for us to expand our operations near our customer’s production sites,” said Manfred Gingl, IAC Group’s CEO.

“IAC views the UK as a strategic market, and we look forward to continuing our partnership with JLR long into the future.”

IAC currently supplies components and interior trim to Land Rover and Range Rover models in the UK.

Prologis said the park was designed with the considerations of not only the needs of employees working there but also the local community with dedicated green, open spaces with walking trails open to both.

In the past 20 years it has invested more than £1bn in the West Midlands.

Within the UK Prologis has £3.7bn (26 m sq ft) of assets under management and a land bank capacity of 4.2m sq ft and a further 12m sq ft under option.

“IAC’s decision to locate its facility at Prologis Park Birmingham Interchange further endorses the West Midlands as a premier location for the automotive sector and is a huge vote of confidence for the region,” said Ashleigh Hayes, Associate Market Officer for Prologis UK.

“This dual letting is great news for local employment, and we are delighted to be able to support IAC Group’s continued expansion in the UK.”

Savills and Burbage Realty acted for Prologis UK and IAC was represented by Melissa Wase-Rogers, Director at CBRE.

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