(Alliance News) - Stenprop Ltd said Thursday it has acquired eight industrial units in Somerset and Cambridgeshire for a total of GBP4.9 million.
The industrial property firm first bought four units at the Dunball Industrial Estate in Bridgwater, Somerset from two unnamed private investors for GBP2.0 million, reflecting a net initial yield of 7.1%.
The four units total 26,465 square feet with an annual passing rent of GBP151,220.
Stenprop now holds the entire Dunball estate, after acquiring the other half in October 2018.
In Cambridgeshire, the company acquired four units in St Peter's Industrial Park from another unnamed private investor for GBP2.9 million, reflecting a net initial yield of 7.5%.
The purchased units comprise 44,562 square feet and produce an annual rent of GBP230,585.
Following these acquisitions, multi-let industrial assets now form 44% of Stenprop's total portfolio. Looking ahead, the company expects such assets to form 60% of the portfolio by the end of March 2020.
"These properties are strategically located in the dominant industrial locations in their respective towns with good access to the national road network. We are especially pleased to have acquired the rest of Dunball Industrial Estate, which enables us to realise significant marriage value, having acquired the other half of the estate last year," said Head of Investment Will Lutton.
"These estates are well positioned to provide consistently high levels of occupancy and sustainable rental growth through our Industrials operating platform," Lutton added.
By Dayo Laniyan; dayolaniyan@alliancenews.com
Copyright 2019 Alliance News Limited. All Rights Reserved.
