EXCLUSIVE: Panattoni and Japanese real estate investor snap up Warrington site for logistics scheme

By Liza Helps, Property Editor, Logistics Matters

THE SITE at Hardwick Grange in Warrington was acquired for an undisclosed sum from Firethorn Trust and English Real Estates, which in turn paid circa £22 million for it from the British Steel Pension Fund in 2024. According to Companies House the property as at 2024 had an investment value of £38.5 million and a rateable value of some £1.78 million a year according to the Valuation Office Agency as of 2023.

It comprises three warehouses of some 432,166 ft2 on a circa.30 acre plot  which was let on a long term lease to supermarket Wm Morrison. It was originally used as a logistics depot for Safeway stores prior to the sale of Safeway to Morrisons in 2004. Most recently Iceland operated from the facility.

Situated in a prime distribution location, the property is within one mile of M6 J21, providing fast access to the M56, M62 and major UK cities including Manchester, Liverpool and Leeds.

Panattoni exchanged contracts to acquire the brownfield site this weekend. It intends to bring forward proposals for a much needed sustainable logistics space on a speculative basis, replacing the obsolete existing buildings with high-quality, energy-efficient space designed to meet the growing demand for modern accommodation across the North West region.

Panattoni, Head of Development for the North West and Yorkshire Dan Burn, said:“We are delighted to have acquired this major strategic site in Warrington. The obsolete buildings are at the end of their economic life, and our intention is to bring forward a high-quality, sustainable redevelopment that reflects both the site’s potential and its importance to the local economy. We look forward to working collaboratively with Warrington Borough Council and our planning consultants, Lichfields, to refine our proposals ahead of submitting a planning application early next year.”

Firethorn, Partner Chris Webb, added: “Securing the lease surrender with the tenant Morrisons has unlocked the opportunity to move this brownfield site forward, and it has been a pleasure working with both Morrisons and Panattoni to deliver this. The sale of the Hardwick Grange site will unlock the next phase of this site’s potential, with Panattoni well placed to deliver this ambitious redevelopment project to the benefit of the local area.”

The redevelopment, with an estimated GDV of £135 million, will target BREEAM Outstanding and EPC A ratings, reflecting Panattoni’s commitment to sustainability and Net Zero Carbon standards in construction. The scheme will also aim to deliver significant local economic benefits through job creation, enhanced landscaping, and improved accessibility.

This will be Panattoni and Mitsui Fudosan’s third scheme together in the UK following on from Panattoni Coventry last year and Panattoni Heathrow in Park Royal, which was reported on exclusively by Logistics Matters earlier this year.

Brownfield regeneration continues to represent a substantial proportion of Panattoni’s UK investment activity, accounting for two million ft2 of the company’s project acquisitions this year.

The Warrington development reinforces Panattoni’s focus on repurposing redundant industrial land in established urban markets, driving sustainable growth while supporting regional employment.

DTRE advised Panattoni on the transaction, with CMS providing legal counsel.