LondonMetric has bought two industrial assets in Milton Keynes for £31.2m, in deals which see it redeploy proceeds from recent retail disposals.
The London-listed landlord has paid £23.9m for a 66,000 sq ft data centre let to TalkTalk for a further 26 years.
The property, which has a site density of just 29%, is a mile from the centre of Milton Keynes, and has already seen significant investment from the telecoms firm. LondonMetric said it had “excellent data and power connectivity”.
LondonMetric bought the site from OLIM Property, which sold the unit for a discretionary investment management client.
It has also bought a 42,000 sq ft urban logistics warehouse for £7.3m, which is let on a new 10-year lease, around three miles from the centre of the Buckinghamshire town.
The two sites have rent reviews of 2-4%, and 2-5% respectively.
Chief executive Andrew Jones said: “Following our recently announced disposal of long-let NNN retail assets, we are pleased to have quickly redeployed the proceeds into two high-quality acquisitions let on very long leases with guaranteed rental growth.
“These assets are very well located in attractive urban geographies with strong infrastructure characteristics and provide high occupier contentment.”
LondonMetric was advised by Knight Frank on the larger unit and by Allsop on the other building. OLIM Property was advised by JLL.
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