Panattoni has bought a 26-acre logistics development site in Kent from Abrdn for £150m, taking its total investment in the south of England so far this year to £350m.
The developer bought the two-unit park in Sittingbourne, measuring 626,468 sq ft, at the end of Q3 this year. The site will be developed as a state-of-the-art, net-zero-carbon development. It already has planning consent for two facilities, measuring 439,228 sq ft and 205,320 sq ft, which will be speculatively developed.
Construction is due to commence at the end of this year, with a targeted completion date in Q4 2024.
Panattoni said a key differentiator of the Sittingbourne scheme will be its enhanced ESG features. The site has 5MVa of power available, with an additional 1.35MVa from the solar PV provided as part of the developer’s base specification. It is targeting a BREEAM sustainability rating of Excellent and an EPC rating of A.
Tony Watkins, head of development for the South East and London at Panattoni, said: “This third acquisition in the South in 2023 confirms our success in delivering on a strategy to acquire land that provides value to investors and customers in the current commercial environment.
“We will continue to selectively purchase key developments that offer value-add opportunities within core markets in London and the South East, where we can drive rental growth. We hope to be announcing more acquisitions this quarter.”
In Q1, Panattoni bought a prime west London redevelopment site near Heathrow Airport called Panattoni Poyle, where an 80,000 sq ft unit will be delivered for Q3 2024. At the start of Q3, it purchased a site to deliver 800,000 sq ft of speculative space in Milton Keynes, split across two facilities measuring 350,000 sq ft and 450,000 sq ft respectively.
JLL acted for Panattoni on the Sittingbourne deal, while Avison Young and Savills advised Abrdn.
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