Prologis, an owner, operator and developer of industrial real estate, has announced the formation of a 50/50 joint venture with Dubai's DP World to develop a 316,000 square foot distribution centre at London Gateway Logistics Park.
The new facility, which will be built speculatively, is designed to offer flexible distribution space. The single-sided, 15-metre-high unit has a 55 metre yard and space for potential expansion.
The park, which is one of the largest multi-modal logistics hubs in Europe, is located next to the DP World London Gateway container port, on the north side of the River Thames.
Strong demand has led to the development being taken forward and groundworks are now underway. The target date for the completed building is spring 2015, a statement said.
"We are delighted to be developing this new unit with DP World at London Gateway Logistics Park," said Andrew Griffiths, managing director, Prologis UK.
"This is the best opportunity in the South East to offer multi-modal connectivity. The park has the potential to offer big cost savings and efficiencies for global supply chains and we believe it is a game changer for the UK market."
Simon Moore, CEO DP World London Gateway, added: "I'm delighted to be able welcome a leading developer of industrial real estate to DP World London Gateway. I'm confident that this partnership will deliver a great development and I'm looking forward to seeing the building work start very soon."
Peter Ward, commercial director, DP World London Gateway, said: "DP World London Gateway offers unique supply chain advantages. The location drives out logistics costs as we are closer to the UK's major areas of consumption than other ports. In addition, London Gateway Logistics Park will help shape the future of the UK's fast changing retail supply chains by allowing goods to be moved to homes and shops faster, more efficiently and reliably than ever before."