UK developer Chancerygate and Hines have created a new UK logistics real estate partnership, building on their prior collaboration.

The new joint venture, which will develop multi-let urban logistics schemes funded by Hines European Real Estate Partners (HEREP) III has completed its first deal with the acquisition of a site in Oldham for a £39m (€46m) project, the companies said.

The Broadway Green site was acquired from FO Developments, a consortium comprising Oldham Council, Grasscroft Property and Seddon Developments, for an undisclosed sum.

The joint venture intends to speculatively develop 166,500sqft of urban logistics space on the 7.5-acre site located at Broadway Green on the Lydia Becker Way spine road.

The Broadway Green site represents Chancerygate`s second scheme in the location, having completed a 108,000sqft, development called Broadway Central in March this year.

Chancerygate and Hines’s initial UK urban logistics development partnership established in 2018 has completed eight projects, delivering around 1m sqft of space.

Richard Bains, said: “Our first joint venture partnership with Hines was extremely successful in delivering strategically located multi-let urban logistics schemes across the UK.

“We forged a highly effective working relationship during that time, so we are excited to once again partner with Hines to deliver Grade A, sustainable accommodation where it is most needed.”

Greg Cooper, managing director and head of UK industrial and logistics at Hines, said: “We are pleased to be extending our partnership with Chancerygate through this venture as we continue to scale our multi-let urban logistics platform throughout the UK.

“The partnership will be well placed to meet HEREP III’s objective to execute the development of modern sustainable multi-let urban logistics product in strategic urban distribution nodes.”

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