M7 Real Estate has acquired ten industrial and office assets for €32.8m (£29.9m), on behalf of a new separate account mandate for a Middle Eastern sovereign wealth investor, reflecting an initial yield of 9.0% and a capital value of €54.8 (£50) per ft². The assets, which were acquired through six transactions and complete the acquisition period for the UK element of the mandate, total circa 591,000ft² and are located across the UK. They comprise single and multi-let industrial assets in Tunbridge Wells, Letchworth Garden City, Swindon, Warminster, Barnsley, Seaham and Galashiels, as well as two office assets in Nottingham and East Kilbride. The portfolio is 95% let to 59 tenants with a combined WALT of 4.8 years, with significant accessible income reversion.
Will Hunting, Divisional Director – UK Acquisitions at M7, commented: “Completing the assembly of the UK element of the portfolio marks an important milestone as we focus our attention on deploying the remaining capital. It also demonstrates our ability to source multiple small-cap assets, which meet the criteria for this strategy and present an opportunity to generate value through active asset management.”