Cooke & Arkwright
News
Green plans on Sterilin’s new site
11/02/2010
In one of the largest lettings in recent months, 140,000 sq ft has been leased at Parkway Buildings, Penyfan Industrial Estate near Newport to Sterilin Ltd, which is moving its manufacturing facilities and doubling in size from its present location in Aberbargoed. The landlord, G B Engineering (Wales) Ltd was represented by Cooke & Arkwright and Brinsons acted for Sterilin Ltd.
Sterilin, which manufactures single use plastic products for clients such as universities, laboratories, hospitals and doctors surgeries, has had a manufacturing base in Aberbargoed for 50 years, where it was formerly part of a large manufacturing group. Since the end of 2007 it has been a stand alone subsidiary of a private company and is now in the process of setting up a head office and manufacturing base at the new location. Work starts in February and the company is due to move in progressively between June and September this year.
“Parkway Buildings offer us the opportunity to create a modern, manageable space with room for expansion,” said David Frost, Chief Executive Officer of Sterilin. “We shortlisted three other premises along with this one, but there were advantages with Parkway with respect to size, flexibility of terms and the stability of a long lease of 20 years. We also wanted to retain our workforce, so the proximity to our current location was important. It ticked all the right boxes.”
Jeremy Symons of Cooke & Arkwright said, “Our clients are very pleased with the transaction, which provides solid income from a well respected and established company. G B Engineering is currently constructing a new 53,000 sq ft building next door, which the present tenants, Durisol will occupy. It is a move that suits both tenants. I understand that G B Engineering is also well advanced in pre-assessment plans and proposals for the installation of a 2 megawatt wind turbine and a Biofuel Plant, which could benefit the whole site.”
The Carbon Trust has already conducted a survey which shows that the site is well suited for wind and biofuel installations, and this was a key factor in the final decision to relocate to Penyfan, according to Mr Frost. “We very much support these proposals,” he said. “Plastic processing requires high energy consumption and there would be a strategic benefit in having access to renewable energy. Our French competitors already have subsidised power and this would put us on a more level playing field.”
G B Engineering (Wales) Ltd is a member of the Border Group of Companies. It currently owns around 600,000 sq ft at Penyfan Industrial Estate and has plans to construct a further 70,000 sq ft on site over the next twelve months.
Pictured l to r: Jeremy Symons, Cooke & Arkwright; David Frost, Sterilin; Richard Harris, Brinsons