Ivanhoé Cambridge creates JV with Peel

Peel Logistics, the Manchester, U.K.-based warehouse developer, has backed a new joint venture with Canadian investor Ivanhoé Cambridge.

Peel will own 20 percent of the new venture, Peel Logistics Property U.K. Logistics Venture (UKLV), with Ivanhoé Cambridge controlling 80 percent.

The first deal with is an 8.6 million-square-foot Sheffield warehouse.

“With significant investment capacity and the ability to pursue development, value‐add and core investments, UKLV will be well placed to capture the opportunities and strong long‐term dynamics we see in the U.K. logistics,” said Jeremy Greenland, Peel Logistics Property CEO.

Growing the business outside Peel’s North West base has long been an objective for the firm. In September 2016, Peel Logistics announced the takeover of Evander Properties, adding a development pipeline of more than 3 million square feet. Since it was founded in 2007, Evander has undertaken over 4.7 million square feet of logistics development.

In 2016, Peel Logistics completed its first two projects: a 280,000-square-foot warehouse let to Great Bear (formerly Culina) at Port Salford and a 175,000-square-foot speculative development at Liverpool International Business Park.

In addition, Peel and Australian investor Macquarie launched a A$2 billion ($1.52 billion) joint venture in 2015.