SEGRO and Legal & General Property have exchanged prime London industrial assets in a deal equivalent to £60m in value.
L&G has exchanged the 100,000 sq ft 1 Abbey Road , at the Gateway to the Park Royal estate in West London, valued at just over £15m – a net initial yield of around 6%.
In return, SEGRO has traded a 150,000 sq ft shed in Barking, a property slightly larger than 100,000 sq ft in Park Royal, and a smaller shed of around 50,000 sq ft in Tottenham.
These were valued at £30m, with L&G paying a cash balance of £15m.
While SEGRO has been targeting larger logistics sites, it is also understood to be interested in mid-sized warehouses close to London to support supermarkets.
CBRE advised LGP on the transaction. DTRE represented SEGRO.
Both sides declined to comment.
