Hines has bought the Royal Mail sorting warehouse in Edinburgh from RPMI RailPen for around £25m.
The 215,745 sq ft facility is located on Edinburgh’s Sighthill Industrial Estate adjacent to Hermiston Gait Retail Park to the west end of the city. It is occupied by Royal Mail and serves as the collection and sorting point for all mail from the east side of Scotland and employs over 700 people on site.
The acquisition, made via its Hines Global Income Trust, is the third investment in UK logistics assets by the REIT this year.
Sherri Schugart, chief executive of Hines Global, said: “We are excited to expand Hines Global’s presence in the UK logistics market by completing our third strategic logistics acquisition in the UK and our ninth acquisition worldwide this year. We continue to see attractive opportunities to acquire high-quality assets in strategic markets globally.”
Greg Cooper, UK director of industrial and logistics at Hines, added: “The site is a key location for Royal Mail and is well-positioned to serve Edinburgh and the wider east of Scotland. We continue to see value in logistics assets that benefit from close proximity to established distribution nodes and good tenants.”
ACRE Capital Real Estate advised Hines Global and Knight Frank represented RPMI Railpen on the deal.
RPMI Railpen is responsible for circa £30bn on behalf of the 350,000 members of the Railways Pension Scheme.
To send feedback, e-mail louise.dransfield@egi.co.uk or tweet @DransfieldL or @estatesgazette
