Anton Bilton’s Raven Russia has completed two deals totalling more than $70m close to Moscow.
A subsidiary of the London-listed industrial investor has signed contracts to buy a 500,000 sq ft completed warehouse at Sholokhovo, on Dmitrov Shosse to the north of Moscow, from a fund managed by Fleming Family and Partners for a consideration of $49.75m.
The property is let to two tenants, Kuehne + Nagel and Perekrestok, part of X5 Retail, on leases expiring in 2017 and 2015 respectively.
The income for the next 12 months is $5.85m, giving an initial yield of 11.75%.
The property has an existing $20.15m debt facility until 2021 at a margin of 6.5% over US libor, so the equity requirement is $29.6m.
In a separate transaction, a subsidiary of the company has signed contracts to acquire 38ha of zoned development land at Padikovo, on the Nova Riga Shosse, to the north west of Moscow for $23m.
Raven Russia intends to construct up to 2m sq ft of new warehousing on the site, subject to obtaining detailed consents, tenant demand and development funding. Discussions with a bank are already in progress for development finance.
Glyn Hirsch, chief executive of Raven Russia, said: “Sholokhovo is a well-located, grade A warehouse in Moscow, with two strong tenants. The acquisition will be earnings-enhancing from day one and is partly funded by an attractive long-term debt facility. The Padikovo development will allow us to increase the size of our Moscow portfolio by over 20% in a location close to our existing Istra project where we know tenant demand is strong.”
bridget.o’connell@estatesgazette.com
