The permission allows for the demolition of a 96,000 sq ft chilled storage warehouse and the construction of either a single 134,000 sq ft unit or a four-unit scheme totalling 117,000 sq ft.
McKay bought the property with a 6.6% yield in April 2015.
Simon Perkins, chief executive of McKay, said: “The Thames Valley is characterised by low supply of good-quality, mid-size distribution space.
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“This is at a time of favourable demand dynamics, driven by the rapid growth of e-commerce and the structural changes in consumer behaviour.
“The location of Theale Business Park is particularly attractive, servicing the metropolitan hub of Reading, while also providing easy access to the rest of the UK’s wider motorway network.”
The expiration of the existing lease to transport and logistics company Kuehne & Nagel in Q1 2018 offered the opportunity for this development.
Savills and Haslams have also been appointed as letting agents for the scheme.
The demolition or refurbishment of the existing building is scheduled for spring 2018.