Cooke & Arkwright

Purchase is ‘vote of confidence’

10/12/09

The purchase of a 90,175 sq ft industrial unit in Church Street, Newport is being viewed as a vote of confidence in the outlook for the commercial property market in South Wales and in the future development prospects for Newport.  Collingbourne Properties, a major landholder and investor in the area has acquired the premises from Inductotherm Group Europe Ltd in a deal brokered with Cooke & Arkwright.  The property is situated in a prominent location on Usk Way with high visibility and excellent access from the M4. 

“The purchase of this site is an important acquisition for us as it is adjacent to other sites within our ownership in this area,” said Jonathan Collingbourne of Collingbourne Properties.  “It also offers excellent potential for lets and office space given its size and location, and we are currently in the process of dividing this large area into a number of smaller, more versatile units.  We have already secured four new tenancies during our short period of ownership and haven’t even advertised the letting space available yet.”

Robert Carew-Chaston of Hutchings & Thomas, who advised Collingbourne Properties on the deal commented, “The proximity of the premises to the River Usk and its location within the scope of Newport Unlimited’s 2020 Master Plan makes this a strategic addition to our client’s portfolio.  While the current climate hasn’t helped in the shorter term, there is no doubt that this is an up and coming area of the city which will offer a host of opportunities for redevelopment in the medium to longer term.  In the interim period we will be letting the property on behalf of our client.”

Newport Unlimited is a partnership between the Welsh Assembly Government and Newport City Council, working with the private sector to promote investment and regeneration in the city.  £25m is being spent on remodelling the railway station in time for the 2010 Ryder Cup, the Old Town Dock is to be transformed with homes, a business district, hotel, shops, restaurants and cafe bars, while new development will take place alongside the riverfront with a continuous riverside walk and new city parks.

Jeremy Symons of Cooke & Arkwright said, “This is our second 90,000 sq ft plus industrial deal in Newport in recent months, following on from the letting to Owens Transport at Reevesland Industrial Estate.  Whilst there is a general view that the property market is depressed, we still experience a good level of interest for freehold property with potential for future development, of which there always seems to be a shortage.  The sale was completed in very quick time and suited Inductotherm’s restructuring of the business.”

The site acquired by Collingbourne borders a number of regeneration and development schemes embarked upon in Newport in recent years.  Redrow has a £50m residential development of 500 dwellings on the site of the former Black Clawson sheds nearby, which is expected to complete when the housing market improves.  Opal completed 441 new student residences next to George Street Bridge in 2008, now occupied, and Westmark is developing 154 residential units at Jacks Pill.  Completed office developments include the 32,000 sq ft Bailey Development called Usk House, occupied by Yell, while the 48,000 sq ft development named the Orb, delivered through the Welsh Assembly Government’s WISP programme, is partly occupied by Newport City Homes.

Pictured: Jeremy Symons, Cooke & Arkwright; Jonathan Collingbourne, Collingbourne Properties; David Pugsley and Robert Carew-Chaston, Hutchings & Thomas

Back to top