Melburg Capital has prelet the entirety of Voltaic, Wakefield 41, a 210,000-square-foot logistics facility in Wakefield, Yorkshire, to XPO Logistics, CoStar News can reveal.
It is the largest letting of the year in the region.
XPO has committed to a 10-year lease term with a break in year five, as well as extensive tenant works above the agreed specification.
Melburg bought the property off-market in the first quarter of 2022 and has undertaken a wholesale repositioning of the facility, which is due to complete in August.
Major third-party logistics provider XPO Logistics is headquartered in Greenwich, Connecticut, and operates from more than 560 locations globally and with more than $7 billion in annual revenues.
XPO Logistics will use the facility to service its ongoing contracts with Saint-Gobain, which has a number of construction products brands, such as British Gypsum and Sani-Tech.
Andrew Burns, Melburg’s head of asset and development management, said in a statement: “The quality of our refurbishment is reflected by the quality of occupier in XPO Logistics. The industrial sector is not immune to wider fiscal turbulence and it is therefore imperative to understand the operational and sustainability requirements of an increasingly discerning occupier base. This understanding has enabled us to deliver an optimal product at a competitive rental level. We are continuing to organically grow our logistics platform and will soon be making an announcement around a broadening of management services.”
Jack Burgess, Melburg’s chief executive, added: “We welcome XPO Logistics and its client Saint-Gobain as partners. The letting validates our data-driven approach to investing –highlighting our ability to identify off-market opportunities within geographies and sectors with an acute supply demand imbalance, and execute quickly when capitalising on pricing dislocations.”
Dave Robinson, partner at Cushman & Wakefield, added:“Melburg’s foresight to identify this off-market opportunity and implement a quality refurbishment of an existing unit on Wakefield 41 Industrial Estate, one of Yorkshire’s prime locations, was key in securing this deal. Furthermore, the significant number of parties and competitive process demonstrates the continued resilience of the occupier market particularly for key product in top tier locations.”
Melburg was advised by Cushman & Wakefield, Avison Young and Burgess Okoh Saunders. XPO were advised by Louch Shacklock and Partners.