Westbrook Partners has bought an industrial portfolio from IO2, a joint venture between IO Asset Management, Grosvenor and Quilvest, for £140m.
The US private equity firm has acquired the portfolio of 32 industrial estates across the UK at a net initial yield of 6.4%.
IO Asset Management instructed Gerald Eve to sell the portfolio in late 2018. Current average passing rents are £4.85 per sq ft.
Angus Scott Brown, managing director of IOAM, commented: “Our recommendation to pursue a sale ahead of business plan was based on the successful early execution of our asset management strategy, which has seen us reduce vacancy from 16% to 5% and increase contracted income by 24%.
“This success, coupled with the prevailing strength of the industrial investment market, has allowed our investors to crystallise returns both sooner than anticipated and significantly in excess of business plan.”
IO Asset Management created the joint venture in 2015 with Grosvenor and Quilvest, with a goal of building a £120m multilet industrial investment vehicle.
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