In another milestone in the development of its London Gateway Logistics Park, DP World has announced Buckingham Group has been awarded the contract to build the Common User Facility (CUF).
Following a period of ground preparation and development of key infrastructure by DP World, Buckingham Group is now mobilising to start construction, with the new logistics centre planned for completion in the first quarter of 2015.
The 375,000 sq ft multi-purpose specialist cargo handling centre will be built in two phases and will be fully integrated with the new deep-sea container port DP World London Gateway.
DP World chairman Sultan Ahmed Bin Sulayem said: "This is a highly significant milestone for both DP World London Gateway and London Gateway Logistics Park because it opens the doors for UK importers and exporters, both large and small, to shorten their supply chains and take advantage of the UK's most modern port to bring their goods close to the major market of London and the Southeast.
"It also offers customers a catalyst for collaboration and improved asset utilisation, with occupiers sharing warehousing and transportation, saving costs whilst improving their own customer service with shorter replenishment cycles."
DP World London Gateway CEO Simon Moore said: "Discussions with leading retailers confirm that many have a substantial proportion of their UK store footprint within 50 miles of London Gateway where the combination of population density, high disposable income and consumer spend drives a significant percentage of UK sales. The potential supply chain cost savings in terms of primary and secondary distribution for occupiers of the London Gateway Logistics Park are compelling."
DP World London Gateway commercial director Peter Ward said: "The Common User Facility is an attractive proposition for both SMEs and larger businesses with supplementary capacity and an 'incubator opportunity' to build up critical mass from an initial smaller presence.
"For businesses with existing commitments and infrastructure, the Common User Facility allows London Gateway to be added to distribution networks as a strategic de-vanning and collection point, particularly beneficial for those serving the Southeast and currently facing issues of empty backhaul. With the rapidly changing multi-channel retail landscape, the introduction of a Common User Facility at London Gateway Logistics Park will support increased agility and flexibility of customers’ supply chains."
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