Slough Estates has confirmed the sale of the first two phases of its Centennial Business Park in Elstree to Morley Fund Management for £35m.
Phases 100 and 200 comprise 241,829 sq ft of production/warehousing space in 16 units providing rental income of £2,277,000 pa.
The deal reflects a net initial yield of 6.15%.
Slough is also marketing its Phases 600/700 office scheme at the site, comprising four office buildings of 67,653 sq ft.
It intends to retain the remaining business space at Phase 300 as well as nearly 10 acres of development land.
John Danks, regional director at SEI, said: “This sale follows a portfolio review and is in line with Slough’s strategy of trading stock and recycling capital across the UK portfolio through an active acquisition and disposal programme.
“The remaining land provides us with an excellent development opportunity within the M25.”
Slough Estates International was advised by Jones Lang LaSalle and Morley by DTZ Debenham Tie Leung and Jansons.
References: EGi News 25/11/05
