A £2.5m local authority sponsored grant has kick-started the construction of a 110-acre Yorkshire distribution and manufacturing development.
Leeds City Council brokered the financing deal — with cash from the Government’s Building Foundations for Growth programme — to allow ground preparation work to start this October on Muse Developments’ flagship estate within the Aire Valley Leeds Enterprise Zone. The company will now build a speculative 80,000 sq ft mixed industrial and office unit on the five-acre plot.
Its Logic Leeds hub, just half a mile from Junction 45 of the M1 motorway and minutes from Leeds city centre, “presents a huge opportunity for Leeds and the wider Yorkshire industrial and distribution market,” explained Muse’s development director David Wells.
“Logic Leeds is one of the most exciting developments to be undertaken in the area for many years,” he added. “The first unit — which features four docks, two-level access doors and a large yard — is the largest speculative building of its kind to be developed in West Yorkshire since the recession.”
The significance of the initial project is underlined by the number of leasing enquiries from across the country, said Wells. “Logic Leeds has always been viable, but as space dries up around the M1 and the M62 motorways our development looks a very attractive option.”
Planning approval for the first unit, which includes 4,000sq ft of office space and parking for 100 vehicles, is expected next month with construction completed by August 2015. The site already has outline permission for 1.6m sq ft of industrial, storage and distribution facilities.
“There is no doubt that the enterprise zone offers unparalleled advantages in terms of scale, transport infrastructure, and proximity to one of the UK’s biggest concentrations of manufacturing,” stressed Richard Lewis, executive member for transport and the economy on Leeds council. “That’s why we have taken this proactive approach to secure funding and underwrite this development.”
Situated within the enterprise zone, future Logic Leeds tenants will be able to take advantage of a range of incentives, among them: a discount on business rates, spread over five years and worth up to £275,000 for each business; a simplified and accelerated planning process for future expansion, and an opportunity for enhanced capital allowance claims.
Tom Lamb is an industrial specialist with property consultants Knight Frank, chosen to jointly market the ongoing development with Carter Towler. “The news that Muse is going ahead with this speculative unit proves that momentum is returning to the West Yorkshire industrial property market,” he said.
“Logic Leeds has the capacity to create thousands of sustainable jobs for the immediate area and beyond. It is superbly located, with dedicated access from the A63 dual carriageway and close to both the city centre and Yorkshire’s excellent motorway network.
“We expect Logic Leeds to continue to attract significant interest from local, regional and national business alike, as development gets underway,” he concluded.
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