Valor Industrial Partners 2 (VIP2), an investment partnership between Valor Real Estate Partners and AIG Global Real Estate, has acquired a portfolio of nine logistics assets in and around Greater Manchester and in Beckton, East London. The purchase price was not disclosed.
Totalling 450,000ft², the assets in Greater Manchester benefit from good access to the regional highway network and local population hubs. Three properties are located within Trafford Park, with a further three located around the southern periphery, and two assets in Warrington at the strategic junction of the M6 and M32 motorways. The remaining property is positioned further north along the M60 motorway.
In addition, Valor has acquired a 40,000ft² asset in Beckton, East London. Located in Zone 3 of London, the site benefits from excellent connectivity to Central, North/East and South/East London via the A13, North Circular and South Circular respectively, as well as providing direct access to the densely populated conurbation of East London.
Separately, Valor has also completed a €23.8m (£21m) refinancing of three assets in Beckton, Crawley and Ashford by extending its existing Deutsche Pfandbriefbank (PBB) debt facility, established in October 2017.
Christian Jamison, Managing Partner of Valor commented: “I am delighted to announce further acquisitions in the UK. Both are great examples of the attractive deals we are seeing in the market. In addition, the successful refinancing of three of our assets provides us with further flexibility to capitalise on the exciting pipeline of deals we are seeing both in the UK and European logistics markets and to continue expanding our portfolio.”
Cane Napolitano, Principal at Valor commented: “The Manchester portfolio provides exposure to an industrial market characterised by strong occupier demand across both the primary and secondary segments, strong historic rental growth driven by population expansion, and good connectivity between the inland regions, air cargo and seaports. Beckton is a fantastic opportunity to acquire an asset in a truly infill, last mile distribution location. The area has historically enjoyed high rental growth, which is expected to continue as a result of declining volumes of existing industrial stock and increasing demand, particularly from occupiers being squeezed out of submarkets within the M25.”
