(Alliance News) - Stenprop Ltd on Monday said it has acquired two estates, comprising 58 units, in Durham and West Bromwich.
The London-based multi-let industrial property company said the assets have been purchased in separate transactions for a total consideration of GBP14 million.
Mandale Business Park, located on the Belmont industrial estate on the outskirts of Durham, was acquired for GBP11.2 million from Mandale Investments Ltd. Comprising 37 modern units, the 136,000 square feet estate is almost 100% occupied by 31 tenants.
The property generates a total annual passing rent of GBP793,374 equating to an average rent of GBP5.83 per square feet, Stenprop said.
In a second transaction, Stenprop said it has purchased Phoenix industrial estate in West Bromwich for GBP2.8 million, from a private investor. It extends to 21 units totalling 46,718 square feet.
The estate is 100% occupied off a passing rent of GBP211,460, equating to a low average rent of GBP4.53 per square feet.
"We continue to grow our portfolio of well-occupied multi-let industrial properties in locations where there is critical undersupply of suitable space and which benefit from strong local infrastructure," said Head of Investment Will Lutton.
"Whilst appetite for well let industrial assets continues, driven by accelerating structural trends, we remain able to source and acquire properties that meet our investment criteria, with a significant pipeline of opportunities as we head towards 2021," added Lutton.
Stenprop shares were untraded in London on Monday, last closing at 130.00 pence each. In Johannesburg, the stock was trading 0.6% lower at ZAR26.34 a share.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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