SEGRO has bought a portfolio of four UK logistics properties from a fund advised by Harbert Management for £49.5m.
The industrial REIT said the purchase from the Harbert European Real Estate Fund III would be funded from existing resources. The price paid for the assets, which generate net rent of £3.2m pa, reflects a net initial yield of 6.3%.
The 572,000 sq ft portfolio of four grade-A warehouses comprises three big-box distribution warehouses in the UK logistics “golden triangle” in the Midlands and a light industrial warehouse on a business park in Norfolk.
SEGRO chief investment officer Phil Redding said: “This transaction was a great opportunity to acquire four modern UK logistics warehouses in an off-market deal. It meets our strategic objectives of increasing our presence in the UK logistics market through the acquisition of high-quality, income-generating assets that offer the potential for growth.”
Property details
• Hams Hall Distribution Park in Birmingham is situated close to junctions with the M42 and M6 motorways and also benefits from a rail freight terminal. SEGRO has acquired two warehouses on the park: a 16,500 sq m logistics unit built in 2001, let to Deutsche Post subsidiary Exel Europe; and a 14,900 sq m logistics unit let to Beko, built in 2003.
• Grove Park in Leicestershire is situated close to junctions with the M1 and M69 motorways. SEGRO has acquired a 14,600 sq m distribution warehouse, built in 2006, and let to British Gas Holdings.
• Gateway 11 Business Park is situated on the outskirts of Norwich. SEGRO has bought a 7,100 sq m high-spec warehouse built in 2006 and let to Deutsche Post subsidiary Williams Lea.
bridget.o’connell@estatesgazette.com
