Friday, 16 January 2015
Barwood and Delancey form UK industrial and logistics development joint venture to be called db symmetry (UK)
Delancey, a specialist real estate investment, development and advisory company acting on behalf of clients, today announces it has formed a UK logistics development joint venture through the purchase of a 60% holding in Barwood Developments Limited (“BDL”), a leading UK logistics developer, with the remaining shareholding being retained by the existing Barwood management team. The new company will be re branded as db symmetry.
BDL’s existing portfolio comprises 1,330 acres (4,046 m²) of strategic land holdings with an expected development value of over £1.4 billion (€1.8 bln), which are expected to receive planning consent for over 20 million ft² (1,8 million m²) of primarily logistics property over the next four years. In addition, BDL has seven other projects funded by third party investors. The portfolio is extremely well located being concentrated around the main motorway arteries of the UK and primarily around the ‘Golden Triangle’ of the M1 and M40.
The creation of db symmetry provides Barwood with a strong partner and Delancey with access to BDL’s significant existing portfolio of logistics development opportunities. Under the terms of the transaction, Delancey has committed to provide further funds which will allow db symmetry to accelerate the bringing forward of the existing landbank and development portfolio. Delancey’s strategic investment will also allow db symmetry to grow through the acquisition of additional strategic land and development opportunities.
Tim Haden-Scott, Investment director of Delancey said: “We are delighted to have formed this new JV with Barwood, and to be entering the logistics area, particularly at such an exciting period of change in the retail market. Alongside the Barwood shareholders and management, Delancey has strong ambitions for the new JV and we look forward to working together to maximise the potential of db symmetry and the existing first class management team and assets.”
Richard Bowen, Managing Director of db symmetry, said: “Having established a very successful track record of securing well located strategic land and promoting it through the planning system, as well as the subsequent delivery of logistics and industrial development, the creation of db symmetry marks a significant step forward in the evolution of the business.”
Source: FTI Consulting