Tritax Big Box REIT has completed a 1 million square foot logistics facility for Amazon at Symmetry Park in Kettering, with a 20-year lease now commencing. The building is Amazon's largest cross-dock warehouse in the UK.

Tritax Big Box REIT is a British real estate investment trust listed on the London Stock Exchange under the ticker BBOX and a constituent of the FTSE 100. The company reported contracted annual rent of £313.5 million and a total portfolio value of £6.40 billion as at 31 December 2024.

The facility will generate annual rental income of £9.8 million for Tritax Big Box, with the development achieving a yield on cost at the upper end of the company's 6 to 8 percent guidance range.

The structural driver is Tritax Big Box's land-led development model, converting its logistics land platform into completed, income-generating assets for institutional occupiers rather than acquiring stabilised stock.

Completion of the Amazon facility marks the delivery of all three committed buildings at the 136-acre Symmetry Park development, which now comprises 1.6 million square feet of completed space, including facilities occupied by Iron Mountain and Greggs.

Tritax Big Box said the Amazon development meets specified sustainability standards and is expected to support around 2,000 jobs in the region. The development forms part of the company's strategy of using its logistics land portfolio to develop assets for occupiers and generate rental income from completed properties.

Tritax Big Box invests in and develops logistics warehouse properties across the UK and operates a logistics-focused development land platform, with a focus on modern facilities leased to institutional occupiers under long-term agreements. The group is also developing a pipeline of potential data centre projects.

For the sector, the completion illustrates how major logistics REITs are converting speculative land banks into long-let institutional assets to capture sustained occupier demand from e-commerce operators.

Source: Yahoo Finance UK