Stenprop buys in Glasgow – Stenprop has bought St Andrews Industrial Estate, a 73,248 sq ft multi-let industrial estate of nine high quality warehouse units near Glasgow city centre. The £5.5m acquisition price reflects a net initial yield of 7.3% and a capital value of £75 per sq ft.
Located on the south side of Glasgow, the estate benefits from its proximity to the city centre (useful for last mile deliveries) as well as excellent arterial connectivity, with both the M8 and M74 within 1.5 miles.
Of the nine modern industrial units, seven are currently occupied by a diverse range of tenants including storage, trade counter and manufacturing uses, accounting for 85% of the gross lettable area and delivering a total annual passing rent of £428,936, equating to an average rent of £5.85 per sq ft.
Earlier this month, Stenprop completed the purchase of Bowthorpe Park Industrial Estate in Norwich, UK for £19.6 million, reflecting a net initial yield of 6.35%. As a result of these acquisitions, multi-let industrial assets now constitute 60% of Stenprop’s portfolio, based on asset values at 31 March 2020. The goal is to take this to 100% by 2022. This is the third deal that the company has completed since the pandemic began.
STP : Stenprop buys in Glasgow