A state-of-the-art 550,000 square foot warehouse in Widnes, representing a £65 million investment, remains unoccupied despite being completed in April. The facility, known as XDock, is the largest single investment to date within the Liverpool City Region's freeport and is central to efforts to attract major businesses to the area.
Developed by Mirastar, the site has the potential to create approximately 1,400 jobs. However, current economic uncertainty is causing potential tenants to delay decisions on large-scale commitments, prompting calls from regional leaders for greater government support to boost market confidence.
Key Takeaways
- The 550,000 sq ft XDock warehouse in Widnes, a £65M project by Mirastar, is currently the largest available speculative industrial unit in the North of England.
- It is the flagship investment in the Liverpool City Region's freeport, which has attracted £200 million in total investment since 2023.
- Despite its modern facilities and significant tax incentives, the warehouse has been empty since its completion in April due to market hesitation.
- Metro Mayor Steve Rotheram has urged for government action to stabilize the economy and unlock the freeport's potential, stating the site could support around 1,400 jobs.
A Landmark Facility Facing Economic Headwinds
The XDock facility in Widnes stands as a significant piece of modern industrial infrastructure. Its vast size is difficult to overstate; it would require 3,000 full HGV loads to fill and has been described as large enough to store 183 million tins of baked beans. This scale makes it the largest speculatively built warehouse currently available in the North.
Mirastar, the developer, invested £65 million into the project, which accounts for a substantial portion of the £200 million committed to the Liverpool City Region's freeport initiative since last year. The facility was designed to meet the highest modern logistics standards, featuring extensive yards and cross-dock loading capabilities for rapid distribution.
Despite these advantages, the search for an occupier continues. Stakeholders attribute the delay to broader economic challenges. Widespread market uncertainty, influenced by macro-economic factors and an upcoming government budget, has made businesses cautious about entering into major new agreements.
XDock by the Numbers
- Size: 550,000 sq ft
- Investment: £65 million
- Job Potential: c. 1,400
- Power Supply: 2.5MW (with a request for an additional 1.5MW)
- Solar Power: 1,000 kpw roof-mounted solar array
- Potential Savings: Up to £15 million in tax and business rates for the occupier
The Freeport Advantage and Calls for Confidence
A key selling point for XDock is its location within the Liverpool City Region's freeport zone. This special economic designation offers significant financial incentives to businesses that operate within its boundaries. According to Mirastar's estimates, a future tenant could benefit from up to £15 million in savings on taxes and business rates.
Robert Brophy, Head of Asset Management at Mirastar, stated that the site's inclusion in the freeport was a "deciding factor" in the decision to acquire it in 2024. The firm is now working closely with agents Cushman & Wakefield and Savills to highlight these benefits to potential occupiers.
During a recent visit to the site, Liverpool City Region Metro Mayor Steve Rotheram emphasized the need for government intervention to provide stability.
"If the government gives the market the confidence, I’m absolutely certain that you’ll see this whole place filled with people," Mr. Rotheram said. "That’s what we want. We want the freeport to be successful, not just for the city region, but for UK PLC."
The Mayor acknowledged the difficult task facing the chancellor but stressed that clear signals are needed to stimulate economic growth, suggesting that devolved authorities like his are well-placed to deliver it quickly.
Raising Awareness and Unlocking Potential
While the financial benefits of the freeport are clear, there is an acknowledged challenge in communicating its advantages effectively. Giles Jones, the Freeport Project Manager at the Liverpool City Region Combined Authority, noted the complexity of the initiative.
"[The freeport] is something that’s not necessarily too easy to understand, and we’ve got a real role there to articulate that," he explained. Mr. Jones added that the freeport status helps to "de-risk" major speculative investments like the one made by Mirastar.
There is a concerted effort to increase the visibility of the opportunity. Mr. Brophy of Mirastar expressed a desire to work more collaboratively with the Mayor's office and the combined authority. "It is about raising awareness to the massive opportunity there is here, and flying the flag for the freeport," he said.
What is a Freeport?
Freeports are special economic zones typically located around shipping ports or airports. Businesses operating within these zones can benefit from a range of incentives, including simplified customs procedures, tax reliefs, and supportive planning regulations. The goal is to encourage trade, investment, and job creation.
A Strategic Investment in the North West
Despite the current vacancy, the project's backers remain confident in its long-term success. Mirastar has a strong belief in the North West market, citing its strong demand dynamics and constrained supply of high-quality industrial space. The company has invested a total of £500 million in the region in recent years.
The XDock facility is strategically located to leverage the region's logistics network, with close proximity to the M62 motorway, the West Coast Main Line, the Widnes intermodal rail terminal, and the Port of Liverpool.
Mayor Rotheram shares this optimism, viewing the significant private investment as a vote of confidence in the region's economic future.
"I’m saying it will be a success," he stated. "Nobody puts £60m into something if they think it’s going to fail. These are businesses who want to make profit, and I think they’ve come to the right place in the Liverpool City Region."
The collective focus now is on translating this potential into reality by securing a tenant who can activate the site and bring hundreds of skilled jobs to Widnes, solidifying the freeport's role as a driver of regional growth.