Howard Tenens has bought a South Wales DC from Tesco, in anticipation that the removal of the Severn Crossing tolls will boost the region's economy.
The acquisition of the 282,297ft² site in Chepstow is the Howard Tenens's largest property purchase to date, and its first in Wales. It bought the site for an undisclosed sum.
The former Tesco site is occupied by CM Downton, which will continue to operate at the facility.
Simon Emms, property director at Howard Tenens, said the facility offers the business a "secure income in a strategic location, which is set to be enhanced further following the recent announcements regarding the abolition of tolls on the Severn bridges".
Read more
- Howard Tenens sees profit grow in light of UK warehousing shortage
- Severn Crossing tolls to be lowered ahead of scrapping
- Severn Crossing tolls to be scrapped in 2018
The operator was advised on the acquisition by Cushman and Wakefield.
Nick Allan, an investment partner at the firm, said: "The South Wales market is continuing to prosper, whilst it is increasingly looking like very good value compared to the likes of Avonmouth and providing a strong employment base for occupiers.”
