Major letting secured for new industrial unit on Team Valley

Naylors Gavin Black, a commercial property consultancy, has announced the letting of the new-build unit on Eighth Avenue, in Team Valley, Gateshead.

The 36,000 sq ft property, owned by UK Land Estates, has been leased by distribution firm FPS, part of Alliance Automotive Group.

The lease is for a 15-year term and will be used as a regional distribution centre.

The unit is highly sustainable, with solar panels, air source heat pumps, and electric vehicle charging stations, and is rated EPC A.

Keith Stewart, partner at Naylors Gavin Black, said: “UK Land has delivered a high-quality unit with exemplar ESG credentials which most tenants now want so there were a number of interested parties.

“The letting to a business like FPS on a long lease demonstrates that there is healthy demand for mid-size units in the region.”

UK Land Estates is continuing its investment programme on the Team Valley and is currently building a new, sustainable, 65,000 sq ft industrial unit at Centralway.

David Gibbs, property director at UK Land Estates, said: “It’s a fantastic result for UK Land Estates securing a strong covenant business such as FPS.

“All our speculative schemes are useable for both manufacturing and distribution, and in this instance having a new building within close proximity to arterial routes fitted FPS’ requirements.

“The letting evidences demand in the estate and allows us to continue further schemes such as Centralway, with confidence.”