EXCLUSIVE: Amazon to finally fully occupy Peterborough shed
Amazon has submitted proposals to modify a warehouse it owns but does not currently occupy in Peterborough so it can fully operate from the site in the future.
By Liza Helps, Property Editor, Logistics Matters
THE WAREHOUSE, previously leased to Debenhams, was acquired on a 15 year lease from landlord Fiera Real Estate in 2022. However, following the Amazon’s worldwide regression in the same year due to taking on too much space during the Pandemic, the property has only been operational during peak periods such as Black Friday and Christmas.
As reported in Logistics Matters in 2023, Amazon has been looking to sublet all or part of the building for a number of years.
A previous full planning application was submitted on behalf of Amazon for alterations to the site in 2022, but due to the change in Amazon’s operational needs, the application was not progressed at the time.
The property has a gross internal area of 732,279ft2 plus 622,864 ft2 of mezzanine space floorspace. The warehouse has 16m eaves, 71 docks and four level access doors as well as a 60m service yard, 468 car parking and 72 HGV spaces.
The new application states that the development proposals consist of alterations which would support Amazon’s full occupation: “The development proposals comprise the installation of building and site signage plus modest alterations to the existing B8 warehouse and wider site. Amazon have a lease on the site, but they have not permanently operated from the site due to operational limitations.”
The alternations would see the removal internally of existing mezzanines installed by the previous occupier and the replacement with a smaller mezzanine. These works will result in a net reduction of 435,992 ft2 of mezzanine floorspace.
Debenhams took the property in 2003 from developer Prologis. Landlord Fiera Real Estate bought the property in 2017 for £86.4 million with 12 years unexpired on the lease. Debenhams collapsed in 2020 and the property was picked up by Amazon first on a short term lease to cover Christmas 2021, a couple of months later it agreed a 15 year lease at a rent of roughly £5.30 per ft2 with then landlord Fiera Real Estate, which went on to sell the investment for £120 million off a 3.25% yield to M&G. The ecommerce giant’s primary Peterborough warehouse sits on the adjacent site.
