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Panattoni Set to Land Amazon for UK's Largest Speculatively Built Warehouse

Ecommerce Giant Has Returned With a Bang to Taking Warehouse Space

Avonmouth 882. (CoStar)
Avonmouth 882. (CoStar)

US ecommerce giant Amazon's return to taking space in the UK logistics market is continuing at pace as it prepares to lease the country's largest ever speculatively built warehouse from Panattoni.

Leading industrial developer Panattoni has consent at Panattoni Park Avonmouth for two grade-A warehouses of 407,367 square feet and 884,219 square feet respectively. Panattoni has described the second, Avonmouth 882, as the largest ever speculatively built warehouse in the UK.

Amazon is understood to have entered talks to lease the larger building subject to a planning consent for some modifications.

Both units have a BREEAM ‘Excellent’ and EPC ‘A’ rating, along with benefiting from standard sustainability features such as a roof-mounted solar PV array, 15% warehouse rooflights and EV charging points.

Colliers, DTRE, JLL and Savills are leasing agents at Panattoni Park Avonmouth.

Amazon confirmed that it would build a £500 million fulfilment centre at Segro's flagship Northampton site in May.

CoStar News revealed at the beginning of the year that Amazon was returning to UK big-box logistics acquisitions in a big way after striking a deal for a large chunk of the Segro Logistics Park Northampton development.

Market sources told CoStar News in January that Amazon had acquired the land from Segro at the end of last year, with Amazon planning to build a circa 2 million-square-foot, multi-tier warehouse.

Amazon had curtailed expansion in the UK and elsewhere globally in spring 2022 as part of an attempt to reduce operating costs. But the retailer is now scouring the UK for sites as it once again grows its operations.

The company says it has invested more than £56 billion in the UK since 2010, with market sources telling CoStar earlier this year that the firm is looking to acquire an additional two or three sites in England.