Amazon to set up distribution hub at former Toys R Us store
Source article: PuGuan Man @ egi.co.uk
However, it is understood that the deal has not yet completed because it was subject to planning permission, which was formally, conditionally granted by Croydon Council earlier this month.
The vacant Toybox retail warehouse, managed by Nuveen Real Estate, is set to be turned into a 51,000 sq ft logistics hub including around 4,000 sq ft of offices.
The application, for a change of use from retail to storage and distribution, includes a full-scale refurbishment and extension of the existing building as well as new office space, loading doors and external yard.
Nuveen’s Janus Henderson UK Property PAIF filed an application last week to discharge one of the conditions set out by the council for the development, located on Trojan Way. This related to construction access arrangements at the site.
FI Real Estate Management, which took control of the Toys R Us estate in the UK after the retailer collapsed, sold the property last year for £16.1m.
Amazon has been establishing a series of footholds in and close to London, as the competition for last-mile logistics locations intensifies.
The online retail giant bought a nine-acre site in Mill Hill that was previously earmarked for a £300m build-to-rent scheme, as revealed by EG last week.
Several market sources said the site’s location between the M1 and A1, and its proximity to chimney pots, could make a compelling case for a new multi-storey distribution facility.
Separately, Amazon has had a rocky history with Toys R Us in the US, with many citing the e-tailer’s success as a major factor in the toy retailer’s bankruptcy in 2017 and subsequent demise.
The pair had initially teamed up at the turn of the millennium on a 10-year deal that redirected its online customers to Amazon in exchange for the e-tailer stocking toys exclusively from Toys R Us. However, the deal with Amazon ended after a bitter legal dispute, when Amazon eventually allowed other toy merchants to sell on its platform.
CBRE and Knight Frank are joint letting agents for the property.
