Legal & General Real Assets has acquired a 139,288 sq ft urban logistics scheme in Basildon, Essex, from Fiera Real Estate and its development partner Wrenbridge.
The scheme, which sits across two facilities at the Boxset Industrial Estate, sold for £23m, representing an equivalent yield of 4.87%.
L&G, which made the purchase on behalf of its Managed Property Fund, said the fund aims to increase its weighting to the industrial sector as a “key growth area”.
It is targeting mid-box urban logistics assets which “have retained strong fundamentals despite the economic downturn”.
Wrenbridge bought and developed the site in 2018 on behalf of Fiera’s Opportunity Fund IV, a venture by Fiera that is exclusive to clients of CBRE Global Investment Partners.
Mark Russell, senior fund manager of Legal & General’s Managed Property Fund, said: “The purchase of Boxset 64 and 75 supports our strategy to increase weightings to the mid-box urban logistics market.
“The development offers strong ESG credentials and good power supplies, and we are confident that occupier demand will sustain resilient income streams into the longer term.”
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