Tritax Symmetry, the dedicated logistics development company of Tritax Big Box REIT, has begun building a 232,150 sq ft distribution warehouse at Goole 36 Enterprise Zone.
The property has been pre let to Croda Europe, which creates, makes and sells speciality chemicals.
It will be Croda’s European distribution hub for products made at its manufacturing sites in the UK and outside of Europe.
The announcement follows news that FTSE 250 REIT investor London Metric Property had agreed a £24m deal to purchase the site from Homes England and forward fund the construction.
Croda plans to invest more than £7m to fit out the facility, which will also house its customer service and supply chain teams as well as a new training centre for its workforce.
Yorkshire based GMI Construction has been appointed main contractor on the project. Ground preparation is now underway, and Tritax Symmetry expects to hand over the building to Croda for summer 2020.
An official ground-breaking ceremony took place on site this week with senior representation from Croda, Tritax Symmetry, Homes England and East Riding of Yorkshire Council and other stakeholders involved in the development.
Freddie Oakey, associate development director at Tritax Symmetry, said: “We are delighted to host an official ground-breaking ceremony with esteemed guests.
“This event signifies a successful collaboration by all parties to bring forward a regionally significant development. Tritax Symmetry has increased activity in Yorkshire over the last few years and we are delighted to be delivering an important facility for such a prominent occupier.
“We continue our development of strategic sites across Yorkshire and look forward to delivering more assets of this type in the future.”
Tom Brophy, managing director Western Europe at Croda, said: ‘We are delighted that work has started on this exciting project to build our state-of-the-art warehouse in Goole.
“The facility has been designed to take advantage of the latest technologies to minimise our environmental impact and offers the most advanced safety features to our warehouse team. This new site will enable us to continue to provide excellent service to our customers and to meet the demands of our growing global business.”
Councillor Richard Burton, leader of East Riding of Yorkshire Council, said: “We feel extremely proud that Croda’s global headquarters are in the East Riding of Yorkshire and we very much welcome their confidence in making this multi-million pound investment in the Goole 36 site happen.
“Supporting economic growth is one of the council’s key priorities and the benefits that this development – which will see the creation of a new worldwide distribution centre – will bring to both the town of Goole and the wider East Riding cannot be underestimated.”
Goole 36 Enterprise Zone is one of Yorkshire’s largest and most high-profile commercial development sites.
Siemens Mobility recently announced plans to build its £200m rail facility on site covering a 67-acre plot, which will create nearly 700 new jobs, along with a partnership that will build a new rail innovation and enterprise centre. Other site occupiers include Tesco, Guardian Industries and Drax.