SEGRO and Hermes have completed a property swap involving sheds with a combined value of £68.9m.
SEGRO bought a 105,486 sq ft distribution warehouse in Hayes, West London, from Hermes for £21.9m – a net initial yield of 4.9%.
Located about one mile from junction three of the M4 motorway, it is let to Allport Cargo Services until 2026 with a rent review in March 2016.
In exchange, Hermes bought two multi-let sheds totalling 315,383 sq ft close to Heathrow Airport from SEGRO for £47m – a combined net initial yield of 5.5%. The two sheds, Polar Park and the Fairway Trading Estate, comprise nine units in total.
