Intermediate Capital Group (ICG) has reached an agreement to forward fund a new 2.94 million sq ft global parts logistics centre.
The logistics hub will be located at Mercia Park at Junction 11 on the M42 in North-West Leicestershire and will be constructed by IM Properties and leased to Jaguar Land Rover.
The transaction represents the UK’s largest-ever single occupier build-to-suit. ICG said its partnership with IM Properties will aim to deliver the scheme on 20-year leases for each of the five units.
Additionally, the new campus will service 80 countries with Jaguar Land Rover’s aftermarket business, enabling it to evolve and grow the company.
Kevin Ashfield, UK development director at IM Properties, said: “We are delighted to be partnering with ICG and remain committed to delivering this sustainable, high quality, bespoke global logistics centre for Jaguar Land Rover. Infrastructure works are now largely complete, so construction can commence.
“This is great news for the logistics sector, and it is hugely exciting for IM Properties to be involved with a deal of such scale and importance. The units will be completed on a phased basis with the last unit due to complete in September 2022.”
Chris Nichols, head of Sale and leaseback at ICG, said: “This is a landmark acquisition by ICG, and the biggest single-occupier logistics build-to-suit ever undertaken in the UK. Successfully completing this transaction reflects our ability to source truly mission-critical real estate in very competitive spheres.”
“We anticipate making additional investments by the end of Q1 2021 by which time we expect to have invested circa €1bn GAV into mission-critical investments in the UK, Germany, France, the Netherlands, Spain and Northern Europe.”
He added: “The fund is actively seeking new mission-critical real estate investment opportunities across Europe.”