Warehouse REIT, the multi-let industrial specialist, has acquired an asset at Glasgow Airport Business Park for £5.3m, reflecting a net initial yield of 6.3%.
The asset, which comprises three units totalling 55,600 sq ft, is occupied by two global transport companies and a craft beer distributor. It generates an annual income of £357,000, equating to £6.40/sq ft, and provides a WAULT of four years to expiry.
The deal completes Warehouse REIT’s near-term acquisition pipeline following the £45.9m fundraise in February. It previously announced the acquisition of two distribution warehouses in Harlow for £14m and a £35m warehouse estate in Liverpool.
Andrew Bird, investment advisor, said: “Given ongoing e-commerce demands and a vibrant occupational market, Glasgow is forecast to see strong levels of warehouse investment activity and rental growth. The business park occupies a highly sought-after position and furthers the company’s exposure in what is a key market, whilst adding three strong covenants to the tenant roster.
“Whilst the company has now completed on its near-term pipeline identified as part of the recent successful placing, thereby deploying all of the equity raised, it continues to source attractive opportunities in line with its ambition to continue scaling and diversifying the portfolio, utilising the agreed Revolving Credit Facility.”
WHR : Warehouse REIT acquires industrial property