Stenprop has completed the acquisition of 100 industrial units in five separate transactions for an aggregate price of c.€19m (£16.7m).
The acquisitions comprise:
- Hillfoot Industrial Estate, Sheffield
- Armthorpe Enterprise Centre, Doncaster
- Trident Business Centre, Middlesbrough
- Units 1-10, Parkway Business Centre, Deeside
- Units 1-8, Forth Industrial Estate, Edinburgh
- Unit 5, Holbrook Enterprise Park, Sheffield
The Hillfoot, Armthorpe and Trident estates were acquired as a portfolio from Westbrook Partners for €11.6m (£10.2m), reflecting a net initial yield of 6.0%. They have 81 units, totalling 137,695ft², of which 11% are vacant. The total annual passing rent of €729,340 (£642,460) equates to an average rent of €5.98 (£5.27)/ft².
The 10 units at Parkway Business Centre, of which two are vacant, were acquired from M7 Real Estate for €2.4m (£2.1m), reflecting a net initial yield of 7.0%. They total 31,572ft² and produce annual passing rent of €147,330 (£129,780), which equates to an average rent of €5.56(£4.90)/ft².
The eight fully-let units at Forth Industrial Estate were acquired from Granton Holdings for €4.8m (£4.2m), reflecting a net initial yield of 6.6%. They total 39,922ft² and produce annual passing rent of €334,552 (£294,700), which equates to an average rent of €8.40 (£7.40)/ft².
The single unit at Holbrook Enterprise Park, where the wider estate was purchased as part of the Pegasus Portfolio transaction in December 2018, was acquired for €228,749 (£201,500), reflecting a net initial yield of 7.65%.
Julian Carey, Stenprop’s Executive Property Director, said: “These properties are all purpose-built multi-let industrial, which meet our acquisition criteria in terms of location and returns. We look forward to rolling out our Industrials operating platform on these estates. We have a number of other similar acquisitions under review, which we hope to complete in the coming months”.
