A vision for Kent

From Aylesford’s state-of-the-art park to Sittingbourne’s groundbreaking development, Panattoni is shaping the future of logistics in Kent

When it comes to logistics and distribution, size matters. It’s not just about the companies moving the goods, but also the developers creating the essential warehousing and infrastructure that makes those operations possible.

There aren’t any international logistics and distribution developers bigger than Panattoni Group, which, over the past three years, has delivered an impressive 150 million ft² of logistics, warehousing and distribution space across 367 projects in Europe.

Its UK subsidiary, Panattoni UK, has been instrumental in this achievement, leading an investment of over £550 million in two major warehousing and distribution parks in Kent, a smaller site at Wrotham, and other key locations across the South East, including Brighton, Burgess Hill and Crawley.

The developer’s impact on Kent has been transformative, with its flagship South East site in Aylesford and significant Sittingbourne development redefining the county’s logistics landscape. But what makes Kent such an attractive location? Tony Watkins, head of development for the South East and London at Panattoni, explains: “Kent offers a perfect location, combining access to the Channel ports for inbound goods with excellent connections to the M25, London and beyond. The prospect of a Lower Thames Crossing coming forward will only improve Kent’s locational appeal, especially for sites such as Panattoni’s close to the M2 in Swale.”

The opportunity to redevelop the 90-acre Aylesford site – one that has been vacant for five years, is zoned for employment, has its own 7MW grid connection and is close to two motorway junctions – doesn’t come along every day. Realising its potential required a developer with the vision, resources and client network to make it a success, as well as a local authority eager to create jobs and boost the economy.

Tonbridge and Malling Borough Council could have taken the straightforward route of reallocating the site for housing, especially given the success of nearby Kings Hill, where residential developments, education facilities, and community amenities coexist harmoniously with office spaces. However, the council recognised the unique opportunity to diversify the local economy and attract significant inward investment, which ultimately swayed the decision in favour of Panattoni’s transformative vision for the site. Following an extensive programme of community engagement, the council granted planning permission for up to 1.9 million ft² in March 2021, paving the way for a landmark development in the region.

Tony Watkins

This collaborative approach extended beyond the council chamber. Panattoni worked closely with Tonbridge and Malling Borough Council, Kent County Council and other stakeholders to navigate the complexities of the planning process. “From the outset, the council saw the bigger picture,” says Tony. “They understood the value of attracting inward investment to create long-term economic benefits, jobs and sustainable infrastructure for the area.”

The development included significant investments in local infrastructure and amenities, such as a new primary substation with a 50MVA capacity, an adoptable foul pumping station and enhanced flood defences along the River Medway. Engineering achievements included the removal of a pipe gantry spanning the Southeastern Railway line between Maidstone and Rochester during a coordinated track closure, as well as restoration work on the Ditton Stream and mill pond. Reflecting on the collaboration, Tony notes: “Our ability to deliver such a complex project depended on the strong relationship we built with the local council and the wider community.”

First steels at Panattoni Park Aylesford

According to Tony, Panattoni had long recognised the under-supply of high-quality logistics and distribution space in Kent, which was failing to meet the needs of world-class operators and holding back the economy. “Our confidence in the county was validated when the entire Panattoni Park Aylesford site was pre-let to major national and international tenants within just 24 months of acquisition,” he says. “The park is now home to industry giants Amazon, DHL, Evri, Fowler Welch, Marley and Tesco.”

In just over three years, Panattoni UK transformed the Aylesford site, constructing nearly 1.9 million ft² of state-of-the-art logistics and distribution space across multiple units, alongside extensive infrastructure improvements. The development has delivered a prime location, industry-leading facilities and diverse employment opportunities for the local workforce, solidifying Kent’s reputation as a logistics hub for the South East.

Opening of new link road

Panattoni measures the success of projects like Panattoni Park Aylesford by its tangible impact on tenants, the local economy and the environment. Aylesford has exceeded expectations, not only with the rapid occupancy of its units but also by generating over 4,000 jobs across seven facilities. Sustainability has been central to the development, with initiatives such as net-zero carbon construction, on-site renewable energy generation and biodiversity enhancements, including rewilding, setting a benchmark for environmentally conscious logistics parks.

During the redevelopment of the Aylesford site, the construction team crushed 100,000m3 of concrete – none of which left the site with all of it repurposed to create the base for the new buildings and road infrastructure. “This alone saved 157,199 Kg of CO2 by removing HGV movements on the local road network,” Tony points out. “We also recycled tonnes of metal removed from the reinforced concrete.”

Each building at Panattoni Park Aylesford incorporates the latest energy-saving technologies – from efficient lighting and heating systems to water conservation measures. Solar PV panels on roofs and car park canopies allow the park to generate up to 6MVA of green energy at peak.

What’s more, all units are designed with the capacity for 100% EV charging in car parks, ensuring they are future-proof for evolving sustainability needs. Tony adds: “High-performing buildings with EPC ‘A’ ratings and BREEAM certifications, ranging from “Very Good” to “Excellent”, keep operational costs low for tenants, with the DHL building achieving net carbon zero during construction.”

Beyond the park itself, Panattoni UK has prioritised biodiversity and community impact. Native trees have been planted across the site, the former Mill Pond at Ditton has been restored and plans are underway to rehabilitate a riverbank footpath. Offsite, the developer has partnered with Kent Wildlife Trust to support the rewilding of Lyewood, a former chicken farm. This project has created new woodlands, wildflower meadows and ponds, delivering a 10% biodiversity net gain and offering public access to natural spaces.

To further support sustainable commuting, Panattoni has introduced an EV car-sharing scheme in partnership with Enterprise Rent-A-Car and is funding a bus service to connect the park with the surrounding community.

Building on the trailblazing success of its Aylesford site, Panattoni UK is now delivering another transformative logistics development in Kent – this time in Sittingbourne. In October 2023, it announced the acquisition of a 644,549 ft² (59,882.2 m²) last-mile logistics development in Swale, just four miles from Junction 5 of the M2. Named Panattoni Park Sittingbourne, the site had remained vacant for over 10 years, and is set to be revitalised into a state-of-the-art logistics hub.

Proposed Panattoni Park Sittingbourne

The site was acquired from Abrdn, a UK-based global investment company. “Initially, the investment was earmarked at £150 million, but following the acquisition of an additional 10 acres, this has increased by £20 million, creating a 773,000 ft² net zero carbon logistics park on a 36-acre site already zoned for employment,” explains Tony.

Work is well underway on what will be Kent’s largest speculative logistics development in over a decade. The first phase comprises two high-specification units, measuring 440,000 ft² and 205,000 ft², which are set for completion in March 2025. Interest in these units has been strong, as Tony notes: “We’ve already had significant discussions with potential tenants and interest is rising as the buildings near completion.”

The site’s appeal has already attracted leading parcel delivery company DPD, which has agreed to pre-let the entire Phase 2 of the development. DPD will move into a bespoke, 58,000 ft² high-quality logistics and distribution building. This facility is being designed to meet the highest environmental standards, targeting a BREEAM Excellent rating in line with Panattoni’s commitment to sustainability. Pending planning approval, construction on the DPD facility could begin early next year, with completion expected by Autumn 2025.

Panattoni UK stands prepared to navigate the ever-changing demands of the logistics sector. Constantly seeking new opportunities for sites that cater to a wide range of occupiers – from single clients to large-scale developments like Aylesford – the developer aims to continue to set the standard for quality and innovation in logistics and distribution across Kent and the South East.

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