Talks with potential occupiers are ongoing. Credit: Google Earth

Warehouse REIT advances 1m sq ft Crewe industrial

9 November 2021 10:27 Dan Whelan Comments (0)

The investor has lodged a planning application with Cheshire East Council for a logistics development across 60 acres at Radway Green, previously owned by BAE Systems.

Tilstone Radway, a joint venture between Warehouse REIT and developer St Francis Group, wants to create an additional 1m sq ft of warehousing at the Crewe site, adding to the 800,000 sq ft already approved in March.

Under the latest plans, five sheds ranging from 40,000 sq ft to 400,000 sq ft would be constructed.

The site of Warehouse REIT’s Radway Green extension, off Junction 16 of the M6 near Alsager, is part of a larger plot that used to house a Royal Ordnance factory supplying munitions during World War Two.

It was acquired by defence firm BAE Systems in 1987 for continued production of bullets and other ammunition.

The 1m sq ft industrial scheme, which along with phase one is known as Radway 16, would be constructed on land no longer owned by BAE.

Warehouse REIT acquired the site as part of a £26.25m deal in 2017 alongside other industrial assets in Knowsley and Skelmersdale.

The joint letting agents for Radway 16 are Gerald Eve, DTRE and Savills, and BHP Design is the project’s architect. Savills is advising on planning.

Warehouse REIT more than doubled pre-tax profit year-on-year for the six months ended 30 September 2021.

Proft increased to £86.4m from £40.4m for the same period in 2020. The value of its portfolio also rose during the six-month period, up to £907m from £793m.

The company’s assets are 95% let.

Neil Kirton, chairman of Warehouse REIT, said: “We have maintained our rigorous focus on further improving the quality and security of income from the portfolio, as well as acquiring high-quality, well-located assets at valuations that are accretive to shareholders.”