A proposal to build a data centre in Borehamwood has been shelved.

Planning permission was granted last year by Hertsmere Borough Council for the project at Panattoni Park in Elstree Way.

But a spokesperson for Panattoni, which owns the land the data centre had been earmarked for, told the Times this week the deal with Pure Data Centres did not complete.

The approved plans for the data centre would have seen a three-storey data centre constructed on the site of the former Sainsbury's frozen food depot.

Instead, the site will be home to logistics facilities including the 159,000 square foot warehouse that has already been completed and is available for occupation.

The first phase of development at Panattoni Park also comprised of a 36,000 sq ft facility which has been let to UK Power Networks.

Panattoni, which is said to be the largest industrial real estate developer in Europe, has just announced it has begun developing a new 142,000 sq ft building, which will complete the development of Panattoni Park.

It will have a 48 metre yard, 13 dock doors, six level access doors, 94 car parking spaces and 15 metres clear internal height.

Buckingham Group Contracting has been appointed main contractor.

Panattoni says the building is expected to be finished in the third quarter of this year and described the site as a "prime opportunity" for occupiers looking at serving the London and the south east.

Anthony Watkins, development director at Panattoni, said: "Panattoni Park Borehamwood is a fantastic location for an urban logistics occupier serving London and an excellent base for a national logistics operation requiring access to the south east."