Stenprop acquires three multi-let industrial estates

Stenprop acquires three multi-let industrial estates

Stenprop has acquired three multi-let industrial (MLI) estates purchased in separate transactions for a total consideration of £11.82 million.

A 81,495 sq ft estate in Wentloog, Cardiff has been acquired for £6.25 million and comprises of 13 modern units. The estate forms part of the wider Capital Business Park, the freehold of which is currently owned by us, thus providing the Company an opportunity to release significant marriage value and further asset management opportunities.

In Newbeidge, Stenprop has purchase a 31,860 sq ft R6 Industrial Estate for £3.9 million, complimenting the two existing estates owned in Edinburgh.

The final estate acquired was Otterwood Square in Wigan for £1.67 million, comprising of 12 units spread out across 18,867 sq ft. The estate sits within Wigan’s most established industrial park, Martland Mill Industrial Estate, less than a mile from the M6 motorway.

Will Lutton, Head of Investment at Stenprop, commented: "Despite some periods of subdued investment activity during the year as a result of COVID-19, we were able to leverage the data from our Industrials.co.uk platform to identify the post lockdown recovery early. This gave us the confidence to begin investing ahead of the markets opening fully and allowed us to finish the year strongly. These three MLI estates are in excellent industrial locations and offer strong day one income alongside a range of both near and longer-term asset management opportunities to drive rents and capital growth.

In line with previous acquisitions, our strategy is to work closely with the occupiers to align their occupation with various estate management improvements. Reflecting the compelling fundamentals underpinning the sector, alongside the strength of our proprietary industrials leasing platform, we remain on track to be 75% MLI by the end of the current financial year."