Logistics property deal worth £314.7 million brokered
By: Chris Taylor
01 February 2012
Property investment companies SERGO and Moorfield have made a joint purchase on a key logistics portfolio for a massive £314.7 million.
PropertyWeek.com says that the deal includes 14 logistics warehouses and one development site from 12 locations throughout the UK. The buy, also referred to as the UK Logistics Fund (UKLF), offers a total lettable space of 4.35m square feet.
SERGO and Moorfield may be hoping that the acquisition pays off through the rental of their remaining vacancies, said to make up around 16 per cent of the total space. Nearly two-thirds (64 per cent) of the strategic assets are based in the south of England.
It's possible that the remaining space could be taken up by logistic consultancy groups or those looking to offer driver training programmes.
Current occupiers include Tesco, Sainsbury's, Royal Mail, GKN Aerospace, Booker and Exel UK, according to CoStar.co.uk.
In a purchasing statement this morning, SERGO said that it was buying property only the "strongest markets.
"As part of its strategic review in November 2011, SEGRO announced that it would focus its portfolio on the highest quality assets in the strongest markets, including an intention to expand its portfolio of logistics assets under management.
"The completion of the UKLF acquisition represents a positive step forward in the execution of this strategy," it said.
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