Friday, September 24, 2021

Strenprop swoops for Yorkshire properties

Stenprop has acquired Whitacre Industrial Park in Huddersfield and a portfolio of five MLI estates located across the UK – including two in Hull – for a total consideration of £15.9 million.

The combined purchase price reflects a net initial yield of 7.2% and a capital value of £64 per sq ft.

Comprising five purpose built MLI estates, the Duke Portfolio totals 225,139 sq ft, with an average unit size of 3,300 sq ft, and is currently 82% let to 54 tenants, a mix of local and national businesses.

The portfolio generates a total annual passing rent of £1,050,000, equating to an average rent of £5.69 psf.

Purchased from M&G Real Estate for £13.6 million, the individual assets are: Two estates both called Acorn Industrial Estate in Hull; Corringham Road Industrial Estate in Gainsborough; Motherwell Food Park in Bellshill; and Caldwellside Industrial Estate in Lanark.

In a second off market transaction, Stenprop has acquired the 24,730 sq ft Whitacre Industrial Park for £2.3 million.

The property adjoins Stenprop’s existing estate in Huddersfield, Ellis Hill Industrial Estate, which was acquired in December 2018. It currently generates a total annual passing rent of £170,166 across 14 fully let units, reflecting a passing rent of £6.88 psf.

The estate extends to c. 1.7 acres which, when combined with Ellis Hill Industrial Estate, will create a sizable holding and management efficiencies.

Following these acquisitions, Stenprop’s MLI portfolio now totals in excess of 6.3 million square feet across 90 estates. Having recently completed the sale of Hermann Quartier shopping centre in Berlin, MLI now accounts for 83% of Stenprop’s total portfolio as it remains on target to be a fully focused MLI REIT by the end of this financial year.

Will Lutton, Head of Investment at Stenprop, commented: “We are confident that adding these MLI assets, in undersupplied regional locations, will enable us to significantly grow the rents over time through the application of our smart lease solution and management platform.”

Stenprop was represented by CBRE on the acquisition of the Duke Portfolio and Ereira Mendoza on Whitacre Industrial Park.

A message from the Editor:

Thank you for reading this story on our news site - please take a moment to read this important message:

As you know, our aim is to bring you, the reader, an editorially led news site and magazine but journalism costs money and we rely on advertising, print and digital revenues to help to support them.

With the Covid-19 pandemichaving a major impact on our industry as a whole, the advertising revenues we normally receive, which helps us cover the cost of our journalists and this website, have been drastically affected.

As such we need your help. If you can support our news sites/magazines with either a small donation of even £1, or a subscription to our magazine, which costs just £31.50 per year, (inc p&P and mailed direct to your door) your generosity will help us weather the storm and continue in our quest to deliver quality journalism.

As a subscriber, you will have unlimited access to our web site and magazine. You'll also be offered VIP invitations to our events, preferential rates to all our awards and get access to exclusive newsletters and content.

Just click here to subscribe and in the meantime may I wish you the very best.




Latest news

Related news

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close