Plans unveiled for new £12m industrial units

A CGI of one of the units to be developed at Axis 19 in North Tyneside.

A CGI of one of the units to be developed at Axis 19 in North Tyneside.

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Plans have been unveiled to create the largest speculative industrial development in the borough in more than eight years.

The £12m development announced by the Northumberland Estates could also create 200 new jobs in North Tyneside.

A 12-acre site at the Tyne Tunnel Trading Estate in North Shields has been identified.

And officials say the development is symbolic of the growing strength of the industrial market in the area.

Eight grade A industrial/warehouse units ranging from 14,000sq ft to 80,000sq ft will be built.

The industrial team at Newcastle-based Naylors Chartered Surveyors have been appointed as letting agent with HTA Real Estate to cater for the rising demand for larger industrial units.

The development, which will be called Axis 19, it is said will appeal to a variety of occupiers including offshore, manufacturing, logistics, and engineering businesses.

Keith Stewart, Naylor’s head of industrial agency, said: “Axis 19 is a milestone scheme which marks a significant step forward for industrial development in the region.

“The Northumberland Estates commitment to such a substantial investment is a clear signal of improving confidence in the market.

“There is a severe lack of larger grade A industrial space within the north east and we anticipate a high level of interest in the units.

“The prime location of the development close to the A19 and just minutes from the Tyne Tunnels and Port of Tyne provides excellent connectivity for occupiers.

“The continued growth of the offshore industry is of great significance to the North Tyneside economy and the developers see this as a primary target market for the scheme.”

The Northumberland Estates acquired the development site from Gladedale in 2012.

Construction of Phase 1 of the development, comprising 28,000sq ft, is due to start on site this month with the completion scheduled for June 2015.

Michael O’Driscoll, of The Northumberland Estates, said: “Strong occupational markets combined with an extremely limited development pipeline has led to a shortage of good quality industrial stock in the region.

“We have had a number of expressions of interest in the Phase 1 buildings and this has ultimately given us the confidence to start building on a speculative basis. We are extremely confident that both buildings will be let prior to practical completion.”