Siemens invests £20m in new Lincoln site
Engineering giant Siemens is set to consolidate its Lincoln operations after agreeing a £20m pre-let and development deal for a site at the city's Teal Park. Regeneration specialist St. Modwen will construct a 135,000 sq ft gas turbine facility, merging Siemens' four operations across the city.
Siemens will take the on a 12-year lease at the 11-acre site.
It will comprise a 50,000 sq ft office and an 85,000 sq ft service workshop, together with surplus land to allow for future planned expansion.
Building works are expected to start in autumn this year with completion set for December 2012. The project will be handled by Birmingham-based St. Modwen.
Once completed, the new facility will allow Siemens to consolidate its Lincoln-based gas turbine service business, currently situated at four different sites within the city.
Two of the existing sites are owned by St. Modwen - the 106,000 sq ft Firth Road facility and the 735,000 sq ft main Ruston Works site, extending over 12 and 23 acres respectively.
The news comes just weeks after Siemens pledged to invest more than £5m in its Ruston Works site. The company said the site will remain "fully occupied" after the Teal park site has been completed, and will house Siemens' Turbomachinery business once the space has been vacated by the service business.
At Firth Road, the service business will continue to occupy 66,000 sq ft and will vacate the remaining surplus space at the end of 2012. This will be refurbished and upgraded by St. Modwen before being leased to new occupiers.
Outline planning permission for Teal Business Park, together with major upgrades to the A46, was granted earlier this year.
A detailed application for Siemens' new BREEAM Excellent facility (Building Research Establishment Environmental Assessment Method) will now be submitted to North Kesteven District Council.
Bill Oliver, chief executive of St. Modwen, said: "This deal underlines our increased focus on design and build projects with pre-lettings to high quality tenants.
"Siemens is a longstanding tenant of St. Modwen, and we have worked closely with them to ensure that we are able to meet the requirements of their strategic relocation to a purpose-built new facility. We will now focus on securing detailed planning, so that we can start on site as soon as possible."
