LondonMetric has acquired two urban logistics warehouses for £23.5m.
The deal – comprising a 48,000 sq ft warehouse in Avonmouth and a 80,000 sq ft warehouse in Cambridgeshire – reflects a yield of 4.9%, which will rise to 5.6% after five years.
The average lease length is 13 years.
Andrew Jones, chief executive of LondonMetric, commented: “These two modern warehouses are fully income generating, let for an average of 13 years to established occupiers and benefit from guaranteed rental growth.”
He added that these two acquisitions would take the value of the company’s to around £420m. The company is looking its urban logistics portfolio to above £500m in the near-term.
LondonMetric was advised by Knight Frank at Avonmouth and by FSP at Cambridgeshire.
To send feedback, e-mail anna.ward@egi.co.uk or tweet @annaroxelana or @estatesgazette
