Picton Property Income has acquired a distribution warehouse in Rushden, Northamptonshire, for £20m. The 312,000 square foot warehouse is currently leased to electrical component manufacturer Belkin, until April 2020, and the transaction represents an initial yield of 7.7%. Following this purchase, Picton has now largely deployed the proceeds, that were allocated to new asset purchases, from the £35m fundraising that was conducted in May.
About Picton Property Income
Picton Property Income Limited invests in commercial property located throughout the United Kingdom. It listed on the London Stock Exchange in December 2005 and is traded on the exchange’s premium segment.
As a closed-ended Property Investment Company, Picton’s investment objective is to provide shareholders with an attractive level of income, together with the potential for capital growth from directly or indirectly investing across the principal commercial property sectors; namely office, retail, industrial and leisure. It says that, “Through an occupier-focused, opportunity-led approach to real estate asset management, Picton aims to be one of the consistently best performing diversified UK property companies listed on the main market of the London Stock Exchange”.
Picton’s strategy
Picton has a portfolio of assets with a high income bias. It says that assets are managed to maximise the potential for both income and, where appropriate, capital growth. It aims to achieve through, amongst other things, improving the quality of accommodation, extending income longevity and exploring the potential to create value through refurbishment, change of use or redevelopment.
Picton Property Income acquires Belkin distribution warehouse for £20m : PCTN