Kier Property is taking on the M25 market to expand its mixed-use Trade City brand.
The development arm of quoted construction giant Kier kicked off the brand with the 150,000 sq ft Trade City Exeter last year and is now looking to buy sites of up to 10 acres.
The developer started the strategy this week, buying a 3.6-acre site at Howard Hill in Romford from ING Real Estate for around £3m.
It has also bought the 3.3-acre Yoplait site at Crown Road, Enfield, for a similar price, after fighting off 43 other bidders.
It wants to roll out at least six more sites.
Sites will be redeveloped into light industrial space, offices and showrooms with first phases including around 50,000 sq ft of speculative space, followed by 30,000 sq ft of presold or prelet space.
Residential projects will also be considered.
Kier, which bought John Laing’s commercial development arm in April 2002, is keen to tap into the lucrative owner-occupier market but will also lease buildings.
It has instructed Kemsley Whiteley & Ferris to assemble a portfolio of land in the Thames Gateway for Trade City.
Kier is looking for sites of between five and 10 acres and has asked the agent to buy “as much as possible”.
Lloyd Collins, development manager at Kier, said: “We are looking to rapidly expand the Trade City brand over the next two years.
“We will be buying at least another five or six sites in the South East and South West, but the strategy is opportunistic and we have no spending cap.”
A further two sites are under offer around the M25.
Kier has also been linked with furniture specialist Parker Knowles’ 3-acre headquarters site at the Ely industrial estate in Edmonton for over £4m.
Salmon Harvester, Easter Developments and Chancerygate are also in the running for the site.
References: EGi News 10/11/03
