Amazon letting Peterborough mega shed
12 September 2023
Amazon is seeking a tenant for its 736,000 ft2 fulfilment centre in Peterborough less than two years after signing a 15-year lease on the property.
By Liza Helps, Property Editor, Logistics Matters
THE INTERNET giant initially took a short term lease on the ex-Debenhams warehouse property in 2021 as a pop up fulfilment centre for the Black Friday and Christmas rush. 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 property has 680,997 ft2 warehouse space with 11,000 ft2 of pallet storage space and 45,000 ft2 of office space. The warehouse has 16m eaves, 71 dock and four level access doors as well as a 60m service yard, 500 car parking and 71 HGV spaces.
This is the fourth centre operated by Amazon in Peterborough. It also has another fulfilment centre at Kingston Park (the adjacent building), as well as a centre at Orton Southgate and a delivery station at Peterborough Gateway.
Fiera Real Estate acquired the property in 2017 for £86.4 million with 12 years unexpired on the lease with Debenhams. After Debenhams went into administration in 2020 Fiera Real Estate marketed the building until it was taken by Amazon in October 2021.
Rent levels in Peterborough peak at £8.50 per ft2 for prime industrial space according to research by Carter Jonas although this may be lower for larger, older stock.
Long time Amazon property advisor CBRE is marketing the building currently.