IO, the specialist manager of multi-let industrial estates, has kicked off the investment programme for its new €163 mln (£120 mln) UK industrial property joint venture by acquiring €47 mln (£34.9 mln) of multi-let industrial estates, which all offer the opportunity for significant value enhancement through asset management initiatives.
The acquisitions mean the vehicle, IO Investment 2 LLP, is 30% invested within two months of closing.
IO has acquired 10 investments in separate transactions, including Glencairn Industrial Estate in Kilmarnock, Hollands Centre in Haverhill, Whiffler Road Industrial Estate in Norwich, Horcott Industrial Estate in Fairford, as well as units at Maple Leaf Industrial Estate in Walsall, at Argents Mere in Newbury, at Thorpe View in Banbury, at Techno Trading Estate in Swindon and at Delta Drive in Tewkesbury.
The 10 investments total 60,916 m² (655,700 ft²) and have a combined vacancy rate of 16%. The blended net initial yield is 7.25% and the blended gross reversionary yield is more than 9%.
Source: IO
