Greene King takes Tritax’s 300,000 sq ft Rochdale shed

The brewery will take over a former Tesco distribution warehouse at Stakehill Industrial Estate having signed a 15-year lease.

Greene King announced in July it would invest £23m creating a food and drink depot in Middleton but specific details were not released at the time.

Place North West can now reveal that the company is taking over the 300,000 sq ft former Tesco warehouse off Touchet Hall Road, which is owned by Tritax Big Box REIT, in partnership with logistics company GXO.

The asset was mentioned at Tritax’s recent interim results briefing as an example of how the investor can capture “significant rental reversion” through refurbishment.

The unit was built in 1988 and the original 35-year lease to Tesco expired at the end of 2023.

“Strength of location, building configuration and low site density proved attractive to the market,” a transcript from the meeting states.

“Prior to completion of the refurbishment works we agreed terms for a new lease to Greene King for 15 years, delivering a 38% increase in rental income and an attractive yield on capex.”