Oxford Properties Group (Oxford), alongside Logistics Capital Partners (LCP), a developer and asset manager of logistics real estate across Europe, has acquired a 15-acre site in Heathrow, London.
Oxford’s acquisition marks its first direct logistics investment in Europe, with plans to redevelop the site in Heathrow to provide a market leading purpose-built prime logistics space.
Oxford secured the transaction with LCP, and has retained the firm as investment, asset and development manager for the scheme over the coming years. The venture intends to deliver a technologically advanced and environmentally sustainable development that meets the increasing requirements of occupiers and is consistent with creating exceptional buildings that contribute to the wider community in which they exist.
The site is located immediately adjacent to the east of London Heathrow Airport perimeter, one of the world’s busiest international passenger and cargo airports, and a prime location for logistics real estate with excellent connectivity to Central London and the rest of the UK via the nearby M25 and M4 motorways.
“Logistics continues to be one of our highest conviction strategies globally..”
Jo McNamara, Head of Europe at Oxford Properties, commented, “Logistics continues to be one of our highest conviction strategies globally; we continue to believe in the secular shifts underpinning the sector, including e-commerce penetration and evolving supply chains, that will continue to drive robust occupier demand against a limited supply of prime new space. This demand and supply imbalance for new, prime logistics space is particularly apparent around major cities where there is significant competition from alternative uses.”
“This acquisition represents an exciting addition to our global portfolio, and we are pleased to be partnering with LCP, a highly experienced team with an impressive track record in the European logistics space”.
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James Boadle, Head of UK and Head of Logistics & Residential, Europe at Oxford Properties, adds: “The transaction provides a rare opportunity to develop a high-quality large-scale scheme in this strategic urban location alongside a best-in-class operating partner in LCP, which shares our vision of creating a next generation scheme on the site. It also provides an attractive entry point of scale for Oxford’s first direct European logistics investment, as we look to expand further into the sector over the coming years.”
John Pagdin, Head of UK at Logistics Capital Partners, adds: “LCP is excited to work alongside one the highest calibre global investors, such as Oxford Properties, in securing this truly exceptional west London site. These types of prime London logistics development opportunities are indeed rare, particularly in terms of the scale of potential project, and we look forward to bringing forward a best in class scheme – unique in its ability to serve not only London Heathrow Airport with a private dedicated access, but also the west London delivery market. It is testament to the virtues of the respective Oxford Properties and LCP teams that we have been able to secure this opportunity in the face of what was intense market competition.
James Markby, Managing Director at LCP, says: “This rare strategic site, with Oxford Properties as a new capital partner, further marks our intentions in the UK. It was undertaken during a challenging Covid operating environment, and is a perfect illustration of our platform and capabilities across the seven countries we operate in. We continue our growth with an additional 14,000,000 sq ft (1,300,000 sq m) of new construction projects to be launched and announced in the coming year.”
, alongside Logistics Capital Partners (LCP), has acquired a 15-acre site in Heathrow, London.){kind=link}