Joint venture acquires prime site to deliver £31m industrial scheme

A joint venture has acquired a 11.14-acre site called Triangle 45 on the East Leeds link road in Cross Green to speculatively develop 231,000 sq ft of sustainable industrial, trade and roadside space.

Industrial developer and asset manager Chancerygate and sustainable and impact investor Bridges Fund Management intend to deliver 23 units ranging from 4,000 sq ft to 34,000 sq ft at the site, which will be the first time Chancerygate has developed in region since the company was founded in 1995.

The two companies acquired the site for £6m from Halifax Estates and anticipate that, once complete, the proposed scheme will have a gross development value of £31m.

The scheme will be aimed at the owner occupier market and will offer units for sale on a freehold basis, with the partners noting “it is over a decade since a multi-unit industrial development aimed at owner occupiers was developed in the city”.

Triangle 45 is prominently located within the Cross Green industrial area on the East Leeds link road, which connects junction 45 of the M1 with Leeds city centre and is next to Harworth’s Gateway 45 development which forms part of the Leeds City Region Enterprise Zone, with notable occupiers close to the site including Amazon, John Lewis, FedEx, Lamborghini and McLaren.

Commenting on the acquisition, Chancerygate development manager, Chris Brown, said: “We have a clear vision for Triangle 45 and are really excited about delivering our first ever development in Yorkshire.

“The connectivity and prominence of the site is of huge appeal to a range of different occupier types. We strongly believe there is latent demand from owner occupiers in Leeds so we expect our product to be extremely well received.”

The industrial units at the scheme will be targeting BREEAM ‘Very Good’ and EPC ratings of B as a minimum; this is likely to reduce utility costs for tenants and minimise the development’s impact on the environment, with a planning application expected to be submitted to Leeds City Council within the next two months.

Commercial real estate consultants Lambert Smith Hampton and chartered surveyor and property consultancy Sanderson Weatherall have been appointed joint agents for the scheme.

Alongside its developer role, Chancerygate also manages in excess of £255m of assets across more than five million sq ft of commercial spaced. Earlier this year, a £100m multi-let industrial property investment fund managed by Chancerygate and property investment company JR Capital acquired the 55,700 sq ft Eagle Industrial Estate on Torre Road in Leeds for £3.8m.

Guy Bowden, partner at Bridges Fund Management, added: “We are delighted to partner with Chancerygate again for this exciting development in Leeds.

“The growth of ecommerce is driving strong demand for industrial units like these, and our experience of similar developments across the country has shown us that tenants are increasingly seeking out sustainability features that minimise emissions and reduce operating costs.

“We think this will make Triangle 45 an attractive proposition for owner-occupiers, which in turn will enable it to become an engine of job creation and economic growth for the local area.”

Chancerygate and Bridges were advised on the acquisition by commercial real estate consultancy Lambert Smith Hampton and law firm Freeths. Chartered surveyor and property consultancy Sanderson Weatherall acted for the vendor.

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