CEO of Johannesburg-based Griffin Rui Nobre said the R380m warehouse, which will serve as the food and detergent maker’s regional distribution centre, was about nine months from completion.

It is in Anderbolt, Boksburg, about 5km from OR Tambo International Airport and about 5km from Unilever’s manufacturing facility.

Nobre said Griffin started negotiations with Durban-based Unilever in March last year after the group held a tender process.

He said the original intention of Unilever was to lease a property from a development company, which would hold the property.

Nobre said Griffin, which was “an investor first and a developer second” had originally been interested in holding the finished property.

“During the negotiation process, they (Unilever) said they wanted an option of ownership. We initially resisted because we are long-term investors, but they paid a slight premium for the development and it was agreeable to us.”

He said he could not disclose the sale price.

The warehouse was a “cutting edge” property and would incorporate “green” techniques, Nobre said.

For instance, “grey” water on the site would be recycled and the property would also be built so that it reduced electricity consumption.

“They (Unilever) wanted to apply as many greening initiatives as possible,” said Nobre.

He said the property would consist of a single 100000m² warehouse which would incorporate a small office component. “It is half a kilometre long by a quarter of a kilometre wide and the office component makes up less than 2% of the development,” said Nobre.

The piece of land on which the warehouse complex is being built is 16,8ha. Nobre said the property had an electricity supply .

He said that about 65% of Griffin’s property portfolio consisted of industrial properties, with the rest being offices.