< Previous10 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk FINANCE NEWS Nottinghamshire tech company secures £250,000 investment A Nottinghamshire-based technology company responsible for developing laptop monitors to help businesses increase the productivity of staff working remotely has secured a £250,000 investment. Dovetail Technology received the funding from First Enterprise – Enterprise Loans through the Midlands Engine Investment Fund (MEIF) and the Community Investment Enterprise Facility (CEIF) backed by the Coronavirus Business Interruption Loan Scheme (CBILS). The funding will allow the business to grow its operations and support fulfilment of orders across the UK and North America before expanding sales across Europe, Asia, Australia and South America. The company was founded by Matthew Relf who designed and developed Packed Pixels in 2015 – a portable laptop monitor to provide users with the benefits of working on two monitors that they experience in the office. Following the success of the first generation of Packed Pixels monitors, Dovetail Technology has since launched two new models. Matthew, founder and CEO of Dovetail Technology Ltd, said: “The idea for the portable laptop monitor came to me through frustration. I often found myself irritated when out on the road with a single laptop screen to work on. “After a long journey of design, development, testing, and continuously making improvements, I’ve learned so much and I am excited to bring the latest Packed Pixels monitors – Go and 4K – to the market. I firmly believe the latest models are game-changing products for remote workers that need the benefit of multiple monitors. The funding from First Enterprise, Enterprise Loans and MEIF has been fundamental in making this journey happen.” Sukhveer Chirrimar, Investment Manager at First Enterprise – Enterprise Loans, said: “We are pleased to be able to support Matthew launch Packed Pixels Go and 4K monitors to the market and look forward to seeing the benefits they will undoubtedly bring to British businesses as they continue to see a large proportion of their workforces work from home.” Lewis Stringer, Senior Manager at the British Business Bank, said: “This is a great example of how MEIF funding can be used to support the launch of new products to market by innovative businesses across the East & South East Midlands.” Sajeeda Rose, Chief Executive of the D2N2 LEP, added: “SME growth will be the bedrock upon which our economic recovery from Coronavirus will be based.” Kettering-headquartered HR firm expands with acquisition Kettering-headquartered HR Solutions, which provides outsourced HR services to SMEs across the UK, has acquired Crispin Rhodes Limited, a human resources consultancy in Milton Keynes. This latest acquisition is the company’s second in Milton Keynes following the acquisition of HR Services (UK) in 2017 and shows further investment in the area. Greg Guilford, CEO of HR Solutions, said: “We are very pleased to announce this latest acquisition as it provides HR Solutions with an ever-increasing footprint in the Midlands and will likely to see additional job roles being created as the combined company continues to grow. “We were actively looking to acquire like-minded HR consultancies and, with Crispin Rhodes being such a well-established HR consultancy in Milton Keynes, it made sense for us to make an approach. “I am very excited about this deal and the future working relationship we will have with Angela Rhodes and the wider team at Crispin Rhodes. We are looking forward to working closely together and continuing to provide great support to their clients.” Angela Rhodes, Managing Director at Crispin Rhodes, added: “I am excited to join Greg and his team at HR Solutions. This acquisition will provide more resources to enhance the service we provide to our clients, whilst maintaining the personal touch we have always been proud to offer.” East Midlands profit warnings increase by over half in first nine months of 2020 During the first three quarters of 2020, listed companies headquartered in the East Midlands issued 59% more profit warnings compared to the same period last year, as the UK total hit an all-time high, according to the latest EY quarterly analysis of UK profit warnings. Year-on-year the number of profit warnings in the first nine months of 2020 from companies in the East Midlands increased from 17 to 27 warnings. In 2020, the overwhelming majority of profit warnings from listed companies in the East Midlands (81%) have been attributed to COVID-19. Dan Hurd, Head of Turnaround & Restructuring Strategy at EY in the Midlands said: “Most of the profit warnings from quoted companies in the East Midlands have been attributed to COVID- 19, demonstrating the very real impact the pandemic is having on our listed companies. “In the East Midlands, nearly half (13) of the warnings recorded so far this year were issued by listed retailers. First impacted by the closure of physical stores earlier in the year – and then a decrease in footfall and instore sales – it is unsurprising to see our regions’ biggest retailers downgrading their profit forecasts. The sector is being challenged to think differently – whilst controlling cost – and retailers which adapt quickly to changing consumer behaviours will come out stronger in the long term.” Rhonda Murray, HR Advisor, Crispin Rhodes, Angela Rhodes, MD, Crispin Rhodes, Greg Guilford, CEO Dan Hurd 06-15.qxp_Layout 1 09/11/2020 12:40 Page 5FINANCE NEWS Pet treats and toys firm sold in £140 million deal Nottingham-based Armitage Pet Care (Armitage), a provider of treats and toys for cats and dogs, has been sold to global consumer brands business, Spectrum Brands for an enterprise value of £140 million. PwC’s Corporate Finance team acted as lead advisor to Rutland Partners and the management shareholders of Armitage Pet Care (Armitage) on its sale. Spectrum Brands has a strong presence in the global pet care market. The acquisition presents Armitage with the opportunity to benefit from Spectrum Brands’ existing infrastructure in the UK and Europe in order to help further accelerate Armitage’s growth. Mark Andrews, Armitage CEO said: “Since acquiring Armitage, Rutland Partners have made a considerable investment in the business in order to position it to capitalise on the ongoing growth opportunities in pet care, and unlocking our ambition to make Armitage the UK’s leading pet treats and toys business. “The partnership with Spectrum Brands will allow us to accelerate our growth plan not only in the UK, but also across continental Europe and beyond.” Ben Slatter, from Rutland Partners said: “Armitage has delivered consistent growth by developing on-trend premium natural products in a very attractive niche within the pet category. “Rutland Partners have made considerable investment in the business and the management team since acquiring Armitage in 2017, and have worked closely with the team at Armitage to create a strong platform to fuel this growth. “We wish Mark and the team all the best for the future and have no doubt that the business will go from strength to strength with Spectrum Brands.” Sarah Taylor, Partner, PwC said: “We’re delighted to have advised Rutland and the management team on this transaction, having previously advised on the sale of Armitage to Rutland in 2017. “Armitage is a market-leading, award-winning business in an attractive sector and has achieved very strong growth under Rutland’s ownership, with an exceptional management team led by Mark Andrews. We look forward to seeing the business thrive as part of Spectrum Brands and wish the team the best of luck.” www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 11 Alfreton logistics company acquires neighbouring counterpart The Silver X Group, the Alfreton-based logistics company, has acquired neighbouring logistics firm, Bow Distribution and Warehousing Limited. Bow Distribution is a warehousing and haulage company that specialises in pallet distribution and is one of the UK’s largest members of the United Pallet Network (UPN). The Silver X Group deemed the company an excellent bolt on opportunity to expand its growing service offering as well as adding an extra 36,000 feet of warehousing capacity and an experienced management team. The Silver X Group’s MD, Gavin Burgess, said: “As soon I was aware Bow was available, I saw it as a great opportunity to combine two great local Derbyshire logistics brands, expand our service offering and create a company that not only provided its clients a greater range of services but also secured a more stable future for both sets of employee’s and businesses. “The friendly, customer centric focus of both companies fits well together and I’m looking forward to synergising the two brands to create one large cutting edge logistics company with two distinct brands and service offerings as we progress through the decade.” Bow MD, Paul Howarth, added: “I’m getting towards the back end of my career and although I’m not done yet, I wanted to make sure the company and the team were in safe hands moving forward “The group now not only handles pallets but we can also offer ecommerce fulfilment, sameday courier and road haulage, home and retail deliveries, as well as occupying over 124,000 foot square of warehousing space. I’m staying operational within the group so it’s a very exciting time for all involved.” Paul Howarth will join Gavin Burgess and James Foskett on the board. © Shutterstock /Bari Attila Paul Howarth, James Foskett, and Gavin Burgess © Shutterstock /Ubermensch Matt 06-15.qxp_Layout 1 09/11/2020 12:40 Page 6New Industrial Policy and Insight Centre to accelerate Midlands manufacturing A new centre aimed at boosting manufacturing in the Midlands has been launched at Loughborough University. The Industrial Policy and Insight Centre will bring together academics, businesses and government to generate thought-leadership papers, insight and industrial policy positioning reports. Run in collaboration with The Manufacturing Technology Centre (MTC) – which aims to bridge the gap between academia and industry – the centre will tackle issues such as: barriers to rapid market pivots based on Covid-19 experience; business model transformation; cultural change within the manufacturing environment; economic impact of manufacturing; financing and funding model transformation; market aggregation; technology drivers; supply chain development; energy supply, including renewables. Loughborough’s Vice-Chancellor Professor Robert Allison launched the initiative. He said: “I’m delighted to be launching the Industrial Policy and Insight Centre. I really look forward to what this centre is going to be contributing not just to the University, but also nationally. One of the things we have at the heart of what we do is working in partnership. An example of that is working with the Manufacturing Technology Centre, or other catapults around the country. I wish everybody every success for this venture in the future.” 12 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk MANUFACTURING NEWS Manufacturing workers still being exposed to dangerous levels of air pollutants Manufacturing workers are still being exposed to dangerous levels of air pollutants in the workplace, a new white paper has cautioned. The whitepaper, from Global Action Plan and Zehnder Clean Air Solutions, finds the quality of the air in the manufacturing sector continues to be underplayed and not acted upon with workers in the UK still being exposed to unhealthy levels of airborne hazards and pollution. It further presents a renewed case for tackling air pollution in industry workplaces with urgent actions for policy makers, regulators and manufacturers. According to the findings, an estimated 440,000 workers with health conditions that are exacerbated by air pollution are still being exposed to unhealthy levels of airborne hazards and pollution in manufacturing workplaces. The presence of airborne hazards causes production issues, product quality and that impacts profit margins. Current regulation allows levels of airborne hazards and pollution that are dangerous to manufacturing workers’ health. Worryingly, it found that regulation enforcement is not meeting the necessary standards. Urgent action is required to protect workers who are unable to work remotely given increasing evidence shows that poor air quality worsens underlying health conditions that make a person more vulnerable to complications if they contract COVID-19 and workers in the manufacturing sector are at greater risk of being exposed to dust, toxic particles and pollution. The most urgent action from the whitepaper, which is supported by the Trade Unions Clean Air Network (TUCAN) and the Hazards campaign, is to call on the government to update regulation to lower the acceptable limits for air pollutants in the industrial workplace, echoing the call from the Institute of Occupational Medicine (IOM) and Trades Union Congress (TUC) that limits be changed to 1mg/m3 for respirable dust from the current 4mg/m3 COSHH trigger. Bombardier secures Arriva contract extension worth £250m Derby-based Bombardier Transportation has secured a contract extension worth almost £250m, which will see it continue to maintain Arriva CrossCountry trains. The firm has signed a three-year extension to its existing agreement with Arriva, with an option of a further extension of up to one year. Matt Byrne, UK president at Bombardier Transportation, said: “We are delighted that we have reached agreement to maintain the Voyager and Super Voyager fleet for Arriva CrossCountry. “This important contract extension is a reflection of our excellent relationship with Arriva, and the hard work and professionalism of our team who deliver day in, day out for Britain’s vitally important CrossCountry network.” The deal will see Bombardier continue to maintain, overhaul, service and clean a fleet of 34 Class 220 Voyagers and 24 Class 221 Super Voyagers at its Central Rivers depot, near Burton, and across the CrossCountry network, which stretches from Aberdeen, in Scotland, to Penzance, in Cornwall. Tom Joyner, Managing Director at Arriva CrossCountry, said: “We’re really pleased to continue our relationship with Bombardier to maintain our Voyager and Super Voyager fleet. The Voyagers are a key part of our fleet, operating across the length and breadth of Great Britain. “As a long-distance operator of choice, we have a vital role to play in strengthening our connections between our towns and cities and look forward to working closely with Bombardier to deliver to our customers.” © Shutterstock /Jenson © Shutterstock /Kev Gregory 06-15.qxp_Layout 1 09/11/2020 12:41 Page 7www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 13 MANUFACTURING NEWS Advanced engineering and manufacturing Centre of Excellence to be built in Daventry Daventry has been unveiled as the new home for an advanced engineering and manufacturing Centre of Excellence. JRM, a company founded in 2007 with international success on the racetrack, has received funding from South East Midlands Local Enterprise Partnership (SEMLEP) to extend and remodel one of its existing sites in Daventry. Staff have already started to migrate into the new centre, a DMG Mori 3D printer (a first in the UK) has recently been installed and building work is set to begin on what will become the UK’s Centre of Excellence (CoE) for Low-carbon Automotive Technologies. JRM Managing Director Jason King said: “Our new Centre of Excellence will make us a market leader. We will become a company able not just to design and manufacture products but also test and approve them in our Quality Control department. “This means we will bring together under one roof all our capabilities as an advanced engineering company and at the same time bring in new ones – for industries locally and oversees. “Historically we have worked in the automotive sector with the likes of Jaguar, Subaru and Nissan. Moving forward though we see no reason we can’t also break into the aerospace and medical sectors.” It is a grant of more than £1.6million from SEMLEP’s Local Growth Fund that has enabled the company, which was previously spread across three sites – one in Bicester and two in Daventry – to consolidate and create one state-of-the-art centre in the town’s Rutherford Way. Hilary Chipping, Chief Executive, SEMLEP, said: “This new Centre of Excellence will reinforce our reputation in the South East Midlands for innovative technical testing and automotive expertise.” Decline in manufacturing activity slows from July slump Output volumes in the three months to October fell at their slowest pace since March 2020, according to the latest CBI quarterly Industrial Trends Survey. Output dropped in 10 out of 17 sub-sectors, with the headline decline driven by the aerospace sector. The survey of 310 manufacturing firms found that total new orders were broadly flat in the three months to October following their sharp drop in July and a total of five successive quarters of decline. Domestic orders picked up slightly, while export orders fell at a much slower pace than the previous quarter. Headcount in the quarter to October fell at a slower pace than in July (when it declined at the fastest rate since April 2009). Business sentiment in the quarter to October was stable for a second quarter, while export sentiment fell at a slightly quicker pace than in July. Looking ahead to the coming quarter, manufacturers expect output to grow at a moderate pace. However, total new orders are anticipated to remain unchanged, reflecting steady growth in domestic orders and a slower fall in export orders. Meanwhile, almost a third of manufacturers are concerned that access to materials or components may limit their output over the quarter ahead. Headcount is expected to be broadly unchanged in the next quarter, following six quarters of decline. And manufacturers are less concerned that access to finance could constrain near-term output or investment plans. Rain Newton-Smith, CBI Chief Economist, said: “Conditions remain tough in the manufacturing sector, with output and orders still down on the quarter, albeit to a lesser degree. The government must stay on the front foot when it comes to providing support for the sector and wider economy. “It is more crucial than ever for the government to listen to the experiences and concerns of businesses and ensure support matches the tightness of local lockdowns. Additionally, signing a trade deal with the EU would help create some clarity that firms so badly need during this fraught period.” Tom Crotty, Group Director at INEOS and Chair of the CBI Manufacturing Council, said: “While it is welcome to see a slightly rosier picture for manufacturing, there’s no escaping the fact that firms have endured another incredibly difficult quarter. The sector is not out of the woods yet and it will be important for the government to continue to support businesses as we approach the winter. “Manufacturers will also be closely observing progress with Brexit negotiations as the deadline for a deal approaches. Manufacturing jobs, businesses and livelihoods are very much at stake and it is essential that leaders find a way through the current impasse and secure a deal.” © Shutterstock /Factory_Easy © Shutterstock /Dan74 Rain Newton-Smith 06-15.qxp_Layout 1 09/11/2020 12:41 Page 8PROPERTY NEWS Henry Brothers to build new £13.2m school in Derbyshire Contractor Henry Brothers Midlands has started work on the new £13.2m Alfreton Park Community Special School in Derbyshire. This is the fifth project that Henry Brothers Midlands has been appointed to deliver for Derbyshire County Council at a number of school sites across the county, and the second for Alfreton Park Community Special School. Henry Brothers Midlands Managing Director Ian Taylor said: “This new, replacement building for Alfreton Park Community Special School will provide a larger, purpose-built facility for pupils with special needs, including mobility issues, and we are delighted to have been selected to build this new school. “Henry Brothers Midlands has worked with Alfreton Park Community Special School before – we delivered a hydrotherapy pool, which opened in early 2017 – and we are very pleased to be continuing our relationship both with the school and with Derbyshire County Council to help improve the education facilities within the county. “This new school will offer modern facilities, extra space and increased car parking, and we are excited to have now started on site.” The new single-storey building is being constructed on a site adjacent to Alfreton Park, known as Highfield Plantation. It will replace out-dated and unsuitable teaching facilities at the school’s existing site. These will be demolished once the new site is up and running. Property developer snaps up former Molson Coors brewery The former Molson Coors South Brewery site in Burton-on-Trent has been sold by Colliers International to Day-Dako Developments Limited. The South Brewery was built in 1864 and was previously connected to the company’s North Brewery site across Station Street by an overhead bridge. The two and four storey buildings last produced a brew in December 2017 and, following a £100million investment over the last decade, Molson Coors transferred all brewing activity to its North Brewery the following year. The 5.77-acre site includes two Grade-II listed buildings and is situated in a dedicated regeneration area. Nick Hammond, director at Colliers International, said: “This site attracted a lot of attention from buyers and there was stiff competition to secure the sale. We’re pleased to have been able to assist Molson Coors to dispose of this asset in a timely manner and look forward to seeing how the land is developed in the future.” Habib Nawaz, development manager from Day-Dako Developments, said: “This has been an ideal opportunity to secure a well-positioned site, which can be utilised for a wide range of activities going forward. We’re looking forward to working with the local authorities to find a suitable solution for the future which will meet the needs of Burton’s residents.” Kate Macnamara, Corporate Affairs Director for Molson Coors in Western Europe added: “We’re proud to operate what continues to be Britain’s biggest brewery in Burton and remain committed to our long-term brewing future in the area. We’re pleased that a new owner has been found for this site and look forward to seeing it play a new and exciting role in our Burton community.” 14 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk Mansfield land acquired for next phase of residential development Housebuilder Avant Homes has purchased a 5.9-acre piece of land as part of the next phase of its Berry Hill development in Mansfield. Subject to planning approval from Mansfield District Council, Avant Homes will bring a further 63 homes to the development with works expected to commence later in the year. Situated just off Berry Hill Lane in Mansfield, the current phase of the development is home to 95 new-build properties. Avant Homes Central Managing Director, Stuart Rowlands, said: “Berry Hill has proven extremely popular with a wide variety of buyers since its launch in 2018, so we’re pleased to have successfully purchased new land to deliver a further 63 homes at the development. “With its close proximity to the town and short drive to Sherwood Forest, we’re sure the extension of Berry Hill will be an exciting update for buyers looking to purchase a home close to Mansfield. “Once the planning application is approved, we look forward to moving forward with our plans at Berry Hill.” Derbyshire County Council’s Cllr Alex Dale holds the silver spade containing the first sod beside the site of the new Alfreton Park Community Special School building, watched by Headteacher Cheryl Smart, Amber Valley Cllr John McCabe, and Ian Taylor, MD of Henry Brothers Midlands. 06-15.qxp_Layout 1 09/11/2020 12:41 Page 9PROPERTY NEWS rg+p secures place on £10.4m framework Multi-disciplinary design practice, rg+p, has secured a place on the EN:Procure Consultancy Framework, which will see £10.4m worth of investment in social housing and public sector projects across the East Midlands, North West and Yorkshire & Humber over the next four years. rg+p, which has offices in Leicester, was one of 70 consultants appointed by EN:Procure, which is the specialist procurement arm of social housing consortium Efficiency North Holdings Limited, and will provide both architectural and principal designer services. Designed predominantly for social housing, the new framework can also be applied to other public buildings or premises owned and/or managed by Public Sector organisations, including schools, universities, infrastructure sites and offices. Rob Woolston, director at rg+p said: “We understand there were more than 600 applications for this framework so of course we were delighted to be ranked among the top candidates, in fact it’s a testament to the skills of our team that we are able to showcase such a breadth of expertise. The geographical spread of projects to be delivered under this framework aligns succinctly with our core business areas and we very much welcome the opportunity to get started.” The EN:Procure framework is divided into eight disciplines, and in addition to the architectural and principal designer services rg+p will undertake, other services are building surveying, party wall and stock conditioning; employers agent/quantity surveying; lifts consultancy; mechanical & electrical services; multi-disciplinary consultancy services; and structural & civil engineering. Derby doughnut company expands into new HQ A Derby-based luxury doughnut company is moving into a brand-new bakery in the city which is 11 times bigger than its previous home and will become a central hub for its UK-wide expansion. Project D says the expansion will create an extra 100 jobs in the city. Staff in the 11,000 sq ft unit in Spondon will operate 24 hours a day, producing enough doughnuts to expand the company’s delivery service nationwide, which already covers a region from Birmingham to Leeds. The company has also secured a lease on a unit in Leeds which will create a further 20 new jobs and act as a distribution hub for the north of England. Co-owner Max Poynton said: “This is a really big step for Project D, but the time is definitely right. “We just can’t keep up with the demand in the bakery we have at the moment and we get enquiries all the time from areas outside of our current delivery routes, so we know the market is there. “We are already interviewing for new bakers and delivery drivers and we anticipate that we will need more and more in the run up to Christmas. It’s going to be all hand’s on deck.” The company plans to turn the Leeds hub into a flagship store next year – creating a further 10 jobs. They also plan to open premises in London and Manchester by April next year. Max added: “This is a really exciting time for Project D and we are really grateful the people of Derby for supporting us.” Build work on Nottingham College’s new City Hub campus, in the city centre, is now complete. Builders and main contractors Wates, formally handed over the building to the College last week and work now begins to relocate more than 2000 students and 200 staff into the building. The handover marks over two years of build works, and many more on planning, to re-purpose the former brownfield site next to the Broadmarsh. The £58.5m state-of-the-art City Hub will provide new learning and community facilities and future employment opportunities to thousands. With the new building fully functional and operational by the New Year, the College will say goodbye to its Clarendon and Maid Marian Way campuses and say hello to its new City Hub, along with a newly renovated Adams Building. Carole Thorogood, College Chair of Governors, said: “I am delighted to take possession of the City Hub on behalf of Nottingham College and I would like to thank all of those who have worked so hard to make this day happen in such difficult times. “The building is spectacular both inside and out and I know that staff and students can’t wait to start using it. This is a major investment in education and skills in Nottingham by the College, the Local Enterprise Partnership and the City Council.” www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 15 From left: co-owners Matthew Bond, Max Poynton, and Jacob Watts in the new bakery Mitch Dale (left) and Rob Woolston (right), both directors at rg+p New £58.5m college campus completes in Nottingham 06-15.qxp_Layout 1 09/11/2020 12:42 Page 1016 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk COMMERCIAL PROPERTY With skyrocketing demand for logistics and distribution space, new records are being made this year. New figures show that demand for logistics and distribution space in the UK hit record levels in the third quarter of 2020, with retailers and 3PLs expanding supply chains in response to the Coronavirus pandemic. The research from Cushman & Wakefield highlights that sixteen million square foot of space was transacted in the quarter, almost double the ten-year average for Q3 (eight million square foot). The figures showcase the acceleration in demand for logistics and distribution space to keep up with the e-commerce boom, which has come as shoppers have looked to more home delivery options in light of the pandemic, with e-commerce accounting for forty per cent of take-up so far in 2020. Representing an all-time high for the sector, e-commerce growth is expected to continue alongside the need for warehouse space, with a recent survey of consumers in Britain uncovering that thirty-eight per cent of respondents were planning to buy more online after COVID-19. Analysis from Knight Frank indicates that for every billion pound of online sales approximately 1.36 million square foot of warehouse space is required, and with UK online sales forecast to rise by up to £67 billion over the next five years, e-commerce could drive further requirements of ninety-two million square foot. Meanwhile, meal kit operators, parcel delivery and fulfilment companies are also expanding. Setting records 16-19.qxp_Layout 1 09/11/2020 12:58 Page 1www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 17 COMMERCIAL PROPERTY 19 Á Cushman & Wakefield’s research also indicates that, in reflection of the ongoing pandemic response, short term requirements have evolved into long term commitments during Q3, for instance Supply Chain Co-Ordination (NHS/Clipper Logistics) leasing 536,991 square foot at DIRFT in Northampton on a 5-year term for PPE storage. In addition, the data shows that take-up for the first nine months of 2020 reached 35.5 million (excluding 3.7 million square foot of short- term deals). This means take-up has already overtaken the full-year take-up of 33.2 million square foot for 2019, with Northampton Cross CGI 2020 on course to set a record. With record take-up levels, alongside a slowdown in speculative development, there was a eleven per cent drop in supply during the quarter with total availability falling to sixty-six million square foot. Supply is now below its historical average across all regions bar the Midlands and the South East. Simon Lloyd, Head of Logistics and Industrial at Cushman & Wakefield in the Midlands, said: “The market trends accelerated by the pandemic continued to drive demand during Q3, and the Midlands region saw some forty-five per cent of the UK’s total take up, with both the East and West Midlands performing well. Robust take-up is fast eroding existing supply, with some regions and sub-markets now facing a shortage of suitable accommodation across certain size bands. Availability levels across the Midlands have decreased by over fifteen per cent, and speculative development has slowed, which means this imbalance could persist. There are signs that prime rent growth could return as a result, particularly for mid-box units.” As we move into Q4, October marked continued demand and positive steps for the logistics and distribution property sector in the East Midlands. Last month for example saw logistics company DHL lease a further 192,000 square foot facility at SEGRO Logistics Park East Midlands (SLP-EMG), on a ten-year lease, bringing the total space pre-let to DHL at SLP- EMG close to 900,000 square foot. The most recent deal comes after an agreement for lease for a 694,000 square foot unit was signed earlier this year. Both units will be completed to the high sustainability level of BREEAM Excellent. The deal means SEGRO has contracted over half the available space at the logistics park. October also saw Prologis UK sign a lease with 3PL e-commerce specialist, Cygnia, for a building on Prologis Park Pineham in Northampton. The fifteen-year lease sees Cygnia take up DC7, a new building on the park totalling 211,304 square foot, and BREEAM-rated ‘Excellent’. This will be the e-commerce giant’s second unit on Prologis Park Pineham. Since 2011, Cygnia has been operating from DC2, a 140,000 square foot unit also on the park. Meanwhile, Firethorn Trust has broken ground at Northampton Cross, a thirty- seven-acre speculative industrial development in Milton Ham. 16-19.qxp_Layout 1 09/11/2020 12:58 Page 2Armstrong house Offering a prime position in Grimsby, Armstrong House on Armstrong Street is ideally located. Close to the ports of Grimsby and Immingham, motorway links and the town centre, off-street parking is also available for all staff and visitors, meaning it’s convenient too. Our spacious, welcoming offices are located on the ground floor and are both secure and CCTV-monitored, giving you the ultimate peace of mind. At Armstrong House, the flexible in/out terms of contract mean confidence when it comes to affordability and with a range of office sizes there are opportunities for all types of business. If you require virtual office services, prices start from just £15 per month. For more information, or to discuss your office requirements, give Scotts Property a call today on 01472 267000 and ask about Armstrong House. Last remaining office suites Prime location in Grimsby Superb Location - - Close to the ports of Grimsby & Immingham - Great motorway links - Close to the town centre Secure off street parking High speed internet availability Easy in/out terms A range of affordable office sizes 3 3 3 3 3 Armstrong House, Armstrong Street, Grimsby DN31 2QE Tel: (01472) 310301 • Email: s.fisher@blmgroup.co.uk www .shutter stoc k.com/ter ekho v igor www .shutter stoc k.com/Y entafer n 16-19.qxp_Layout 1 09/11/2020 12:58 Page 3www .shutter stoc k.com/Y entafer n Northampton Cross will deliver 354,000 square foot of highly specified logistics space with units ranging from 52,000 square foot to 250,000 square foot. Firethorn has appointed Midlands-based A&H Construction to deliver the scheme, which is set for completion in summer 2021. The development will incorporate sustainable technologies including roof mounted solar panels and multiple electric vehicle charging points. Further, a ground-breaking ceremony in October marked the start of work at Signal Park - the first industrial development of its size in Daventry for almost a decade. Over 56,500 square foot of industrial space is now being developed, with fifteen units set to be built to support growth in the town. The construction of the steel frames will start in early December, and the scheme is due to be completed by July 2021. The development will bring six acres of urban land into use and is expected to accommodate over 112 new jobs in the medium term, in addition to the indirect economic activity generated by its design and construction. Peter Horrocks CBE, South East Midlands Local Enterprise Partnership Chair, said: “Daventry has lots of premises which cater for large warehouses and logistics operations, but the town lacks smaller industrial units which are essential if growing businesses are to remain in the town and Daventry is to attract national and regional businesses.” The development comes after a £3.2 million grant was awarded to Claymore Investments in 2019, to cover abnormal land preparation costs, enabling the project to proceed. The plot was previously considered unusable because the cost of levelling the hill meant it was thought impossible to profitably develop. www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 19 COMMERCIAL PROPERTY © Shutterstock / hacohob Prologis Park Pineham 16-19.qxp_Layout 1 09/11/2020 12:58 Page 4Next >