Harworth Group, the Rotherham-based brownfield land property developer and investor, has strengthened its Yorkshire income portfolio after securing three new long-term lettings.
The duo were secured at two of the Group’s principal developers – Rotherham’s Advanced Manufacturing Park (AMP) and Gateway 36 in Barnsley.
The deals have set new headline rents at each site, with Harworth’s recurring income base growing by over £650,000 per annum following their completion.
As a result, all Harworth’s wholly owned direct developments in its Business Space portfolio are now fully let.
Harworth has secured two new tenants for its second phase of “R-evolution” units at the Advanced Manufacturing Park in Rotherham which practically completed in 2017, meaning this scheme is now fully let.
The 25,962 sq. ft Unit 8 building is let to Spendor Audio Systems on a 15-year lease, whilst the 15,063 sq. ft Unit 7A is let to British Steel Limited on a 15-year lease.
These lettings have achieved a new headline rent of £7.50 psf for the park. Knight Frank and Gent Visick acted as joint agents for both lettings.
This strong demand for space at the AMP has now led Harworth to begin construction of its third phase of “R-evolution” at the AMP, comprising 55,750 sq. ft of additional commercial space to be built to institutional specifications for advanced manufacturing occupiers.
The scheme is due to practically complete in September 2018, with JF Finnegan Limited acting as Harworth’s principal building contractor.
Harworth has also successfully leased its final vacant unit at its Gateway 36 development in Barnsley. Leading used car supermarket Motor Depot has taken a 15-year lease at the 75,277 sq. ft “Helix” unit, at a headline rent of £5.00 psf. Knight Frank and Gent Visick also acted as joint agents for this scheme.
“These lettings justify why we speculatively developed this space over the past eighteen months whilst also emphasising the market’s continued confidence in our product,” said Ian Ball, Executive Director of Income Generation at Harworth.
David Travis, Director of Business Space at Harworth, added: “With our second phase of “R-evolution” at the AMP now fully let, increasingly strong demand from advanced manufacturing occupiers and other supply chain businesses for readily available commercial space at the AMP means that it is an ideal time for us to commence our third speculative phase of “R-evolution”.
“I am confident that we’ll be able to secure further occupiers of the same ilk as Spendor and British Steel in advance of practical completion being achieved later in 2018, thereby supporting the future success of the AMP and the Advanced Manufacturing sector in the North of England.”
Rebecca Schofield, Partner at Knight Frank in Sheffield who acted for Harworth as joint agent on both sites, said: “The Advanced Manufacturing Park continues to go from strength to strength and has attracted some great occupiers, it is now widely recognised as the leading manufacturing park in the UK.”