CBRE has sold the investment of DHL’s Doncaster 305,348 sq ft distribution facility to EIRP for £10.165 million representing a Net Initial Yield of 9.3 per cent.
DHL is on a ten year lease which expires in 2017. The company operates a contract for Reckitt Benckiser from the property. DHL was recently successful in securing a extension to this contract.
CBRE were acting on behalf of the Joint Administrators of Canley 6 LLP and EIRP was represented by Edward Hine.
The warehouse spans a 14.252 acre site within the Doncaster South development on the A1 corridor with good access to the East Midlands, the wider Midlands and Northern regions via the M18 and M1 Motorways.
Roger Haworth, senior director industrial agency, CBRE said: “The combination of the high profile tenant, the contract with Reckitt Benckiser along with the clear benefits of the property’s modernity and key location represented a solid investment for EIRP.
“Deals such as these signify the excellent opportunities that exist within the marketplace for investors looking to extend their portfolios. The industrial sector continues to be more resilient to the difficult economic climate than other sectors.”