A growing national logistics company has snapped up a 102,000sqft warehouse in the North East.
Kinaxia Logistics, which operates within the 海角视频 transport and warehouse sector, has signed up for the significant chunk of industrial space at Doxford International Business Park, Sunderland, to fulfil a range of new delivery contracts.
The firm was first launched in 2012 and has become a market leader in 海角视频 transport and warehousing, operating a number of businesses in the group including Bay Freight, William Kirk, Cammack, Foulger Transport, Lambert Brothers, Panic Transport, Mark Thompson Transport, AKW, Fresh Freight Group and David Hathaway Transport.
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The Macclesfield-headquartered group has sites across the 海角视频 and this marks its first base in the region.
Its firms offer contract packing, e-fulfilment, returns management and storage services from its nationwide warehouse facilities.
The letting was secured within three months of going on the market.
Built in 1999 on Camberwell Way, the high specification property has open plan warehousing, office accommodation and staff amenities on a 6.43 acre site. It sits adjacent to the A19 and six miles from the A1.
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Partner at Knight Frank, Mark Proudlock, who let the property, said: “Since the pandemic and the rise of online shopping, logistics - particularly last mile logistics - is booming. Demand for space in close proximity to major raid networks is incredibly high.”
HTA Real Estate acted on behalf of Kinaxia Logistics, which has a fleet of more than 800 vehicles across 13 companies and more than 1,600 employees.
Last week Knight Frank revealed the extent of general take-up of industrial space in the North East, with occupier take-up of units over 50,000 sqft across the first three quarters of 2021 rising to more than 3.1m sqft, well ahead of the average annual take up of 2.3m sq ft recorded over the previous half decade.
Mr Proudlock said: “Much of the increase has been driven by the uptick in online retail with internet sales as a percentage of total sales at around 25.5%. Whilst lower than its lock-down peak of 37%, this remains a marked increase from pre-Covid levels (19.1%).
“This suggests that for many consumers changes in purchasing behaviour may be lasting.
"The high level of demand for space that started during the early days of the Covid crisis is showing little sign of slowing. I can’t remember the last time we experienced this level of enquiries and the subsequent lack of stock makes it difficult to identify properties to meet occupiers’ requirements. This is the case across all property sizes and emphasises the pressing need for warehouse development across our region.”