Verdion pushes forward on UK urban logistics with prime London development site acquisition

Verdion’s urban logistics strategy has taken a further step forward with the acquisition of a new, £30 million prime urban logistics development site within the London Borough of Greenwich’s West Thamesmead Opportunity Area. Verdion will be responsible for the development of the site on behalf of L&G, who will be the asset owner.

The 2.6-acre brownfield opportunity with a GDV of £30 million is located on Nathan Way, part of the West Thamesmead / Plumstead Industrial Area and West Thamesmead Strategic Industrial Location (SIL).

The site will now be developed speculatively to create a best-in-class urban logistics scheme, optimising its location and providing 78,987 sq ft of new floorspace in six small to mid-box units ranging from ~7,500 to 18,000 sq ft.  The scheme will target BREEAM Excellent/ EPC A+ and include a whole-life carbon focus, high energy performance and resilience, biodiversity positive measures and supply chain and site social safeguards.

It sits 5.3 miles east of the Blackwall and Silvertown Tunnels and 8.9 miles from the M25. Berkeley Homes and Peabody’s new 1,900 home Lombard Square development, Charlton Riverside, and the government-shortlisted Thamesmead Waterfront new town are all nearby.

The acquisition is part of Verdion’s UK-wide urban logistics strategy, targeting brownfield redevelopment opportunities underpinned by strong ESG credentials close to major population centres.

It is the first partnership between Verdion and L&G, reflecting an increasing commitment on both sides to strategic urban logistics sites with strong growth potential.

Mark Garrity, Development Director UK at Verdion, said: “This acquisition is a significant milestone for our UK strategy, and its Thamesmead location sets a clear standard for Verdion’s future acquisition programme. High levels of demand are anticipated, both from displaced occupiers further north and west, and from new tenants attracted by inner South East London’s improved transport links. Our masterplan has been optimised to accommodate a wide range of sizes and uses to capitalise on this geographic shift and we are now ready to move forward with these speculative development plans targeting Q2 2027 completion.”

Matt Lilley, Assistant Fund Manager on IPIF and Head of Industrial Development Strategies, said: “The acquisition of Nathan Way reflects our strategy of allocating to high growth industrial sub-sectors such as urban logistics, and allows us implement net zero-carbon credentials from day one, future proofing the asset and providing high quality accommodation to an undersupplied London sub-market.”

CBRE, DWF and Macfarlanes advised the purchasers. Glenny advised the sellers.