What's the latest?

The first commercial properties to be speculatively developed on the edge of Fareham, Hampshire, in more than 10 years have been launched to the market.

The two units at Kite's Croft business park total around 40,000 sq ft of new industrial and office space - and construction is set to finish by the end of this March.

They are a major boost for the starved south coast commercial property market, where new and high quality industrial units to let have been hard to come by in recent years.

And the fact that the units have been built prior to being let is testament to the improving commercial property market.

Why is it happening?

Robin Dickens, director of industrial and logistics agency at Lambert Smith Hampton, which is marketing the units jointly with Hellier Langston, explained: 'We are starting to see speculative development along the south coast now because confidence has returned to the market, and rental values and yields have reached levels that support development.'

He said that the M27 corridor is an attractive alternative for developers seeking better value outside city centres.

Who does it affect?

It will no doubt be welcome news for businesses seeking new and modern industrial units to occupy. And it is also likely to provide encouragement to other developers considering dipping their toes back in speculative development.

Sounds interesting. What's the background?

'We are starting to see speculative development along the coast now as confidence has returned to the market, and rental values and yields have reached levels that support development.'

The new space is being developed by Aviva Investors. The first unit will provide 27,800 sq ft of ground floor distribution and industrial space, alongside a further 2,600 sq ft of first floor office and ancillary space, yard, 26 car parking spaces, shower and toilet facilities and a glazed entrance lobby.

And the second unit will comprise 8,000 sq ft of production and industrial space and 1,500 sq ft of first floor office accommodation, yard and 14 parking spaces.

Up to 350,000 sq ft of property has already been built at Kite's Croft, which is located at Junction 9 on the M27, in the heart of the Southampton and Portsmouth conurbation. Existing occupiers include Royal Mail and Estée Lauder.

Matthew Poplett, director at Hellier Langston, added: 'These units provide a unique opportunity for an occupier to be located half way between Southampton and Portsmouth in modern, energy efficient units buildings to the latest building regulations.'

Top takeaways

  • Up to 40,000 sq ft of new industrial space has been brought to the market on the starved south coast market.
  • It is the first speculative development on the edge of Fareham in more than 10 years.

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Zoopla Property Group plc issued this content on 10 February 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 12 February 2016 09:42:13 UTC

Original Document: http://www.zoopla.co.uk/discover/commercial-news/40-000-sq-ft-of-industrial-units-to-let-launched-in-fareham-10-2-16