Tritax Big Box REIT acquires Brake Brothers distribution centre in Portbury, Bristol, for £25.2m

Tritax Big Box REIT has announced that it has acquired Brake Brothers distribution centre at Portbury Way, Portbury, in Bristol for £25.2m, which reflects a net initial yield of 5.15%. The company says that the purchase has been funded out of equity proceeds, with senior debt finance expected to be introduced in the near term.

Tritax says that the property, which is being acquired with an unexpired lease term of 30 years, comprises a purpose-built cold store facility with a multi-temperature control system. It incorporates modern design features including cross docking with an eaves height of 11 metres. They also say that the distribution centre is also to benefit from significant capital investment by the tenant to meet its growing distribution requirements in the South West. The property comprises a gross internal floor area of 250,763 sq ft and benefits from a low site cover of 32%. The lease is subject to five yearly upward only rent reviews, indexed to the Retail Price Index, and capped at 5% per annum compounded. The next review is due in February 2021. Tritax says that the purchase increases it weighted average unexpired lease term to 16.7 years.

Tritax Big Box REIT acquires Brake Brothers distribution centre in Portbury, Bristol, for £25.2m : BBOX