Realterm announced the acquisition of Unit 1 Brazil Close, a strategic final-mile delivery property located in the London borough of Croydon. This c. 3,800m2 facility, situated on a c. 9,8744m2 site, represents a significant addition to Realterm's growing portfolio across Europe.
The property is ideally located in Croydon, South London's key logistics hub, approximately 16km from the city centre. It is currently leased to DPD Group, a leading parcel delivery company, serving as a mission-critical final-mile hub for delivery areas including Croydon, Brixton, and Greenwich.
“This acquisition represents a terrific opportunity for Realterm to expand its presence in one of London's most sought-after logistics submarkets," said Tamsin Layton, Head of UK Investment for Realterm. "The property's strategic location, highly functional specification with a unique IOS component and long-term lease to a blue-chip tenant, aligns perfectly with our investment criteria and growth strategy."
The facility benefits from its proximity to the A23 and other major transportation links, including multiple train, tram and bus stations. This connectivity ensures efficient access to both London's urban core and the wider South London market and its extensive employment base. The high-quality asset comprises a modern warehouse featuring attractive loading ratios and unique final mile fleet parking areas.
"This transaction further exhibits Realterm's continued growth and commitment to the UK market,” said Alberto Radice Fossati, Managing Director and European Fund Manager for Realterm. “The industrial property market in London continues to demonstrate strong fundamentals, driven by factors such as high rental growth, a constrained development pipeline, and increasing demand for final-mile delivery solutions. This Croydon facility exemplifies the type of property we aim to add to our portfolio with high flow through (HFT®) characteristics and industrial outdoor storage (IOS) functionality, designed to move goods and create efficiency along our tenants’ supply chain."
Written by Leon Goldwater for Europe Real Estate.
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