The UK multi-let industrial property firm, Stenprop, has today announced that it had acquired two estates in Durham and West Bromwich as part of a £14 million deal.
Located on the Belmont Industrial Estate on the outskirts of Durham, Stenprop’s newly purchased Mandale Business Park was acquired for £11.2 million from Mandale Investments Limited.
Comprising 37 modern units; the 136,000 sq ft estate is almost 100% occupied by 31 tenants spanning a range of sectors including trade counters and light manufacturing. The property generates a total annual passing rent of £793,374 equating to an average rent of £5.83 per sq ft.
In their second transaction, Stenprop purchased Phoenix Industrial Estate in West Bromwich for £2.8 million, from an unnamed private investor.
The Phoneix Industrial Estate extends to 21 units totalling 46,718 sq ft and is 100% occupied with a passing rent of £211,460 (£4.53 per sq ft).
Commenting on the purchases and the vision for the future, Will Lutton, Head of Investment at Stenprop, said: “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. Both acquisitions offer strong day one income, with the longer-term opportunity to unlock reversionary potential utilising our proprietary industrials.co.uk platform.
“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.”