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McLaren Construction scoops £43m Asda deal

McLaren Construction has won a £43.5 million deal with developer Bericote Properties to build a new Asda centre in Bristol, CN can reveal.

The firm will build a new 616,000 sq ft chilled distribution and Asda service centre in Avonmouth.

The contract is McLaren’s third major new build deal on behalf of Asda Distribution in a year and it will work alongside consultants Davis Langdon, Chetwoods Architects and Hydrock to complete the project within a 40-week timeframe.

The firm had previously been awarded contracts in Rochdale and Grangemouth and Asda will use the new Bristol centre to move up to 3 million cases of items in its peak trading week leading up to Christmas Day.

The contractor and property developer announced last month it had boosted revenue in the South by 14 per cent in its financial update to 31 July 2012.

Chairman Kevin Taylor told CN last month that McLaren would be seeking to increase margins this year after it posted a turnover boost of £110m, despite pre-tax profit dropping from £7m to £6.1m.

McLaren Construction and UAE managing director Phil Pringle described retail and distribution as among the firm’s core areas for growth, alongside residential and hotels.

Piling has now started on the Bristol site and practical completion is due in August 2013. The distribution centre will help to meet Asda’s long-term capacity requirements in the South-west, where it has 123 stores. 

The Bristol scheme represents a total investment of £70m by Asda in the 50-acre site.

McLaren Construction said the contract would help them to add “further strength and depth to its customer relationships in the distribution sector and low-carbon capabilities”. 

The new-build project has been designed in line with the specification of Asda’s CDC distribution centre in Rochdale and the recently completed Asda Grangemouth on behalf of Bericote. 

Built by McLaren as part of the supermarket’s strategy to reduce its carbon footprint, Asda’s Rochdale distribution centre is one of the retailer’s most energy-efficient chilled distribution centres.

This was achieved through initiatives including temperature controlled cladding, integral combined heat and power plant, PV panelling, plus 0.5 million litres of rainwater harvesting tanks for refrigeration system/traywash and toilets. 

McLaren will aim to send just 2 per cent of construction waste generated on site to landfill as part of the Bristol development.

McLaren Construction managing director Phil Pringle said: “We are pleased to have secured this contract with Bericote.

“We look forward to bringing our extensive experience and delivery track record in the distribution sector to complete what will be our third project from Asda Distribution.”

Asda Distribution head of network development Ant Everett said: “We are pleased to be working with the team that has successfully delivered two new depots for us in the past 12 months. 

“This distribution centre will deliver significant incremental capacity to support future store and business growth, and of course, provide job security for our colleagues in the longer term.”

In other retail wins recently, McLaren was also awarded a deal for a new supermarket and commercial/education space by Tottenham Hotspur FC last year.

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