Work starts on £16m distribution hub for delivery firm DPD set to create 125 new jobs

June 2021

Naylors Gavin Black clients’ Buccleuch Property and Argon Properties have started work on an new 60,000 sq ft storage and distribution unit for parcel delivery service DPD, at their Velocity site in Washington.

The multimillion-pound unit will bring new life and jobs to a 10-acre brownfield site which has been undeveloped for more than 25 years.

Buccleuch Property and Argon Properties are creating the unit to tackle a shortage of warehouse and distribution space in the region, which will result in 125 jobs for DPD.

Naylors Gavin Black and Cushman & Wakefield acted for Buccleuch Property, while SBH acted for DPD.

Chris Donabie, partner at Naylors Gavin Black, said: “This is a huge vote of confidence in our region. With a strong supply of skilled labour, excellent road links and comparatively low overheads, we were confident that forward-thinking organisations such as DPD would recognise that Velocity 194 is the ideal location to accommodate their long-term growth.

“There’s also provision for further development within the scheme, with a second phase that can provide a bespoke facility extending to 19,500 sqft.”

Neil Finnie, director at Buccleuch Property said, “This is a great example of positive reuse of a brownfield site to create significant investment and new jobs. We look forward to working with DPD to create a state of the art distribution centre”.

Richard Wilks, managing director at Argon Properties, added: “As a North East based developer it is fantastic to be involved in securing long term jobs for the area and redeveloping a site that has been vacant for so long.”

Contractor Parkway Construction, based in Milton Keynes, has started work at the site, with completion due in early 2022.

For further information on Velocity 194 please contact Chris Donabie.

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