Kent’s business parks continue to expand on the back of continued interest from occupiers seeking quality space around the county. Much of the interest is fuelled by the expansion of existing companies within the county as well as those looking to relocate out of London. Rents have experienced a modest rise and investor demand for office buildings within business park locations is strong.
Chatham Maritime in Medway has witnessed two large investment deals this year. Both 30 and 50 Pembroke Court which comprise two office buildings constructed in 2001, totalling 8,072.65m² (86,896ft²), were sold for in excess of £20m. 30 Pembroke Court is let to MedCo Limited which is part of Canterbury Christ Church University College. A second building known as The Observatory has also been sold achieving £4.8m off a rent roll of £337,826.25. A number of other second hand office lettings have also taken place. As Chatham Maritime continues to expand as a place for work and leisure, Byrne Estates has embarked upon a predominantly residential development but which includes approximately 5,574m² (60,000ft²) of A3 and A4 retail accommodation due in 2009.
Kings Hill, West Malling, has yet again experienced a flurry of activity, with a total of 18,287m² (196,850ft²) of transactions agreed during 2006 to mid 2007. Upon completion of 42 Kings Hill Avenue, one of only three speculative developments within the M25 market during 2006, 25% (13,659ft²) of the building has been let to Viridor Waste Management who relocated their south-east regional offices to the business park, with a further 25% under offer. A letting of 463.20m² (4,986ft²) at 11 Tower View resulted in a new headline rent for the park, with other newcomers including Parenta Software Limited and Elson Associates Plc. Of the 21 retail units at Liberty Square, 19 are now occupied.
Crossways, Dartford, continues to welcome new companies to the fold, with plans for 8,268m² (89,000ft²) of new offices, to be known as Crossways Point, to be built in 2008. Legal and General, jointly with Space Property, have recently finished a development of 16,614m² (178,824ft²) of industrial accommodation at Charles Park. 24 units in total are provided with quoting rents of £99.57m² (£9.25ft²), with 50% already let including the two larger warehouses each over 2,043.8m² (22,000ft²).
|
In Ashford, Quadrant Estates have completed the office development of Northdown (Phase I) at Eureka Park. This is the first development witnessed at Eureka for some time, with three separate buildings totalling 1,599.27m² (17,215ft²) already sold and a further two buildings under offer to both investors and owner occupiers. Buildings II and III provide approximately 1913.74m² (20,600ft²) and are available to let at a guide rent of £183m² (£17ft²). Work has also begun on the new 3,167.7m² (34,098ft²) speculative Herald office building, as well as on the new neighbourhood centre where pre-lets have been agreed on the public house, four retail units and a children’s nursery.
Development work continues at The Bridge, Dartford, with completion of a new 62,336m² (671,000ft²) warehouse unit pre-let to Sainsbury’s and completion of The Nucleus which forms the first phase of the London Science Park. The Nucleus, which is operated by Start International, provides 65 units totalling 2,787m² (30,000ft²) and is aimed at small and start-up companies. Planning permission was also obtained in May for the construction of four three-storey office buildings ranging in size from 1,765 – 7,710.70m² (19,000 – 83,000ft²). Initially the developer ProLogis will be seeking pre-lets.
The final plots of land at Shearway Business Park, Folkestone, were sold in 2006 reaching close to £300,000 per acre, with four occupiers having completed and taken occupation of their buildings including the new 5,109m² (55,000ft²) office premises for the Immigration and Nationality Service. In addition, Cranmer Investments have commenced works for the provision of a new building for Travis Perkins and City Plumbers.
Business Park Rents
Click to view graph (this will launch in a new window)
Significant
Lettings & Sales
Click to view table (this will launch in a new window) |
