Tyne Tunnel development takes off
As a landlord looking to invest for the long term, it makes sense for Northumberland Estates to work closely with its commercial property tenants.
When building work commenced on the Axis 19 site at the Tyne Tunnel Trading Estate last year, the 28,000 sq ft development was speculative. Yet within weeks a deal was agreed with Advance Industrial Solutions (AIS).
AIS were existing tenants of Northumberland Estates but after a sustained period of growth, took the new build units in addition to their existing space on the basis of a 10 year lease term.
Advance Industrial Solutions (AIS) offers survival and emergency training for personnel involved in the oil, renewables and other offshore industries. With their headquarters close by they chose the Axis 19 site to create a brand new, state of the art training facility.
“Speculative development is always high risk, but given the dearth of available industrial stock in the region and the prime location of the site we were confident of securing an end user prior to completion.” says commercial property surveyor, Michael O’Driscoll. “Working with the occupier from early on in the construction phase allowed AIS to have a greater level of input into the project, making it a “win win” situation for all concerned.”