Prupim purchased two warehouses in prime UK distribution estates in the “Golden Triangle” in two separate transactions in December.
The first acquisition was a 181,604 sq ft property on Magna Park, Lutterworth, let to VWR International until October 2019. Prupim purchased the property for GBP10.25m (GBP56 psf) and will receive a rent of GBP895,000 per annum (GBP4.93 psf), representing a net initial yield of 8.25 per cent.
The second purchase is a 966,360 sq ft warehouse situated on a 42 acre site on the Brackmills Industrial Estate, Northampton, let to Howden Joinery Group until March 2019. Prupim has acquired the property for GBP47m (GBP48 psf) and will receive a rent of GBP6,905,113 p/a (GBP7.15/sq ft) representing a net initial yield of 13.89 per cent.
Adam Coulston, director, investment management at Prupim, says: “The acquisition of these two warehouses is an excellent result for Prupim – both assets are located in the core Golden Triangle locations, have potential medium term asset management opportunities and will provide attractive income returns going forward.”
Lewis Ellis represented Prupim on the Lutterworth acquisition and the vendor was advised by Ellis & Partners.
For the Northampton purchase Bidwells advised Prupim and Chris Free-Smith represented the vendor.