Starwood buys £200m industrial portfolio

An affiliate of Starwood Capital has bought 10 UK urban industrial estates valued at £200m. The deal is Starwood Capital’s first foray into the UK’s urban industrial sector. The properties, which measure a combined 1.6m sq ft, were bought from an institutional client of Barings. Its locations include Oxford, Birmingham and Glasgow. Under the terms of the deal, Barings will continue to provide asset management services to Starwood Capital in respect of the portfolio. Matthew Parrott, vice president at Starwood Capital, said the portfolio was “well placed to capture the growth the sector is exhibiting”. Rory Allan, managing director of Barings, said: “Having been active in this market for over 15 years we strongly believe in the fundamentals of this strategy at a time where there is a chronic supply shortage and strong demand in and around key cities, and have already identified a deep pipeline of opportunities for the ongoing investment [programme].” To send feedback, e-mail pui-guan.man@egi.co.uk or tweet @PuiGuanM or @estatesgazette