Next has sold a chunk of land in Essex to Prologis after axing plans to consolidate two of its regional distribution centres.
According to local press, the clothing and homeware retailer purchased the 24-acre plot north of Dowding Way in Waltham Abbey more than seven years ago, with a view to building a circa 861,112-square-foot.
But, after reportedly facing opposition from local residents, Next has sold the plot to industrial giant Prologis, with the developer set to use the land to expand its existing scheme in the area, delivering advanced manufacturing and logistics units.
Next confirmed in a stock market announcement this morning that the sale of the "non-operational land" had generated net cash proceeds of £54.1 million and an exceptional profit of £16.3 million.
According to Prologis, the site is allocated for employment use in Epping Forest District Council’s adopted Local Plan and provides excellent connectivity to central London, sitting off Junction 26 of the M25.
For this reason, it says the site is ideally positions for last-mile fulfilment and urban supply chains. Facilities in the area include Sainsbury’s Waltham Point Distribution Centre, also owned by Prologis, while GXO, Ocado, Iceland, Tesco and John Lewis are also close.
Prologis added that master planning is underway, "with a focus on sustainability, design and community integration". JLL acted for Prologis, while ACRE Capital Real Estate acted for Next.
Paul Weston, regional head, Prologis UK, said in a statement: "This acquisition underscores our conviction in the Greater London market.
"Waltham Abbey is already a well-established logistics location, and this site gives us the ability to bring forward sustainable, best-in-class space that supports our customers’ growth while creating employment opportunities and attracting investment for the local community."