Industrial property developer Prologis has acquired a 17-acre (7 ha) site in central Luton, formerly owned by Vauxhall Motors and one other private commercial company.
Financial details were not disclosed.
The multi-use site, where current tenants include car parts manufacturer, BWI Group, will be redeveloped in two phases, providing approximately 300,000 ft2 of purpose-built space suitable for warehousing, logistics, and manufacturing.
The final scheme will comprise a range of unit sizes, with spaces suitable for SMEs, Prologis said.
Extensive landscaping works will be undertaken as part of the redevelopment project, including transforming the overgrown River Lea, which bisects the site, into a ‘green corridor’ with the potential for public access.
Ollie Bycroft, vice president in the leasing and development team at Prologis UK, said: 'This is an important investment both for Prologis and for the local economy; we’re pleased to be following in Vauxhall’s footsteps and continuing to provide employment opportunities in Luton.
'Because of the site’s location, we’re very conscious of the need to integrate the development into the local community and, alongside jobs, we’ll be ensuring that the scheme provides added sustainability and environmental benefits too.'
James Burke, director in Colliers’ land development team, managed the sale. He said: 'Due to changes in their business operations, both landowners were looking to relocate, which allowed for the two properties to be packaged together.
'Over the last 12 months we’ve seen a particular boom in demand for industrial land to cope with the increased consumer purchasing of food online, as well as ecommerce. Professional investors like Prologis recognised the opportunity of international cargo transport, alongside strong domestic links that this site had to offer.'
