A portfolio of three sites in the South East has been sold by GMS Estates to JR Capital and Chancerygate for £14 million.
The acquisition was part of JR Capital and Chancerygate’s £150m multi-let urban logistics investment fund. The sites are in Luton, Alton and Farnhap, with a combined total of 28 units across all three sites, totalling 90,400ft².
Occupants at the locations include Screwfix, Co-operative Food and GreenThumb, plus ‘a diverse range of local and regional businesses’.
Chancerygate’s head of investment and asset management, Simon Cowley, said: “The acquisition of these three sites marks a significant, strategic expansion of our portfolio giving us further exposure to the particularly resilient South East market.
“The extremely high occupancy of the portfolio signifies the strength of demand for this type of accommodation in the region.”
Following this acquisition, a total of £50m of the £150m investment fund has been spent, with JR Capital and Chancerygate having acquired 94 units and 537,000ft² of accommodation in Carlisle, Eastbourne, Northampton and Knowsley.
John Collier-Wright, JR Capital’s CEO, added: “We are pleased to have completed this latest acquisition and to have increased the fund’s weighting to the South East, which now accounts for more than 50% of the fund. This portfolio will provide the fund with well diversified income and opportunities to add value in the short to medium term.
“The fundamentals of the multi-let industrial sector remain robust, driven by the supply/demand imbalance, which has given us the comfort to continue to scale our portfolio despite the significant global political and economic uncertainty.
“We have been acquisitive over the past 18 months whilst there has been distress in the markets and other investors have been sitting on their hands. We expect the investment markets, specifically the multi-let industrial sector, to stabilise over the coming year and for yields to tighten when interest rates eventually start to come back down.”
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