Landlord Logicor has begun work on the unit, close to the under-supplied A19 corridor, at Swan Road, South West Industrial Estate, Peterlee. Construction will be completed by June.
The South West Industrial Estate is already home to a number of major occupiers including NSK Bearings, Caterpillar and TRW Automotive.
The refurbished unit enters a tight market with little quality floorspace available.
“Once refurbished, this will be the only unit of its size and quality available up and down the A19 between Teesside and Tyne & Wear and around ‘hot spot’ locations in Washington, Sunderland and South Tyneside,” said Chris Donabie, Partner at Naylors Gavin Black.
Richard Phillips, Logicor’s UK Portfolio Director, said: “This comprehensive refurbishment which will provide excellent modern industrial space in an area where we are seeing high customer demand.”
Cushman & Wakefield and Naylors Gavin Black are joint letting agents.