Avanton, the leading London investor-developer, has been granted planning permission by Wandsworth Council for the redevelopment of the industrial complex Culvert Court in Battersea.

Acquired by Avanton in June 2022, the project marks the first logistics site in their growing investment portfolio. The new complex will feature purpose-built industrial units that maximise available space and efficiency on site for tenants. With a completed gross development value of £30 million, the site will provide 36,500 sq ft of multilevel logistics for Class E and B8 use.

The existing site provides 128 micro-units, totalling 22,000 sqft, a mixture of storage and small workshop units. The new design, developed by Boehm Lynas Architects, uses grey metal cladding with yellow powder-coated shutter doors and grey brick and has a BREEAM “Outstanding” rating for sustainability. The development will also incorporate solar panels and Air Source Heat Pumps, which will contribute to its sustainability standards. The site is set to be completed in the second half of 2024.

Avanton is in talks with various specialist contractors for the construction contract, and their environmental, social, and governance credentials will play a key role in the selection process. The company has also begun the tender process to appoint lettings agents to secure occupiers for the completed space. Given its central location and proximity to residential estates, the site could appeal to last-mile delivery services and a variety of local business needs, including catering, storage, and business expansion.

The acquisition and redevelopment of Culvert Court is a critical part of Avanton’s long-term investment strategy of sourcing and optimising sustainable sites across the capital. The site was acquired with a net initial yield of 7.5%, at a time when yields on comparable sites were substantially lower. Avanton is forecasting an increased annual income in the region of £1.35 million once stabilised for the new property. The current lender, Ingenious Real Estate, is also supporting the development finance.

Omer Weinberger, CEO of Avanton says: “We are very pleased to have secured planning permission granted by Wandsworth Council for our Culvert Court site. This logistics site has fantastic potential, with a range of unit sizes and good accessibility. There is a shortage of inner city warehousing especially, and our new logistics complex will meet some of this demand. Our investment appetite is not limited to residential development and this site presented an unmissable opportunity. We are already experiencing strong interest from occupiers and will be shortly bringing the site to the market to secure pre-lettings ahead of the completion of the development next year.”

For more information contact Avanton at info at avanton.co.uk.

See more images on Culvert Court development profile.