Warehouse REIT has bought a multi-let industrial estate in Cambridgeshire with planning permission to extend the site.
The AIM-listed industrial investor has paid £20.2m for Cambridge South Industrial Estate near the village of Sawston, which comprises 68,000 sq ft of new multi-let industrial units and a neighbouring development site.
Andrew Bird, managing director of investment adviser Tilstone Partners, said the deal “further cements the company’s allocation of capital to the growing Oxford-Cambridge Arc”, following the REIT’s acquisition of Granby Industrial Estate in Milton Keynes in December 2020.
The completed buildings include 13 units and are 83% let with a further 5% under offer, generating £672,000 of rent a year. Tenants include companies in the packaging, food distribution, storage, wine wholesale and research sectors.
The adjacent 3.4-acre development site has planning permission for an additional 14-unit multi-let scheme of 73,000 sq ft. Warehouse REIT said it would take a phased development approach against partial prelets.
“This is a rare opportunity to acquire a modern, multi-let warehouse estate in one of the UK’s fastest-growing business and employment hubs, with additional development land allowing the company to pursue ongoing discussions with potential users, with a view to securing prelets that will deliver enhanced returns over and above the built stock,” Bird added.
To send feedback, e-mail tim.burke@eg.co.uk or tweet @_tim_burke or @EGPropertyNews
