Warehouse REIT acquires Plymouth warehouse for £4.3 million
18 December 2017
The 66,000 sq ft warehouse was built in 1985 and sits on a 3.9 acre site within the Parkway Industrial Estate.
The entire warehouse is let on a 25 year lease, with over three years to expiry, at a low passing rent of just over £5 psf. The tenant has subsequently fully sublet the space to two occupiers, an automotive preparation and storage firm and a global lubricant solutions provider, with the rent on the majority of the unit being sublet at c. £5.50 psf.
Neil Kirton, non-executive chairman of Warehouse REIT, commented: “Occupier demand for good quality industrial premises that are close to major conurbations continues to grow, and we retain a strong level of confidence in the outlook for the UK urban warehouse sector for the foreseeable future, driven by strong underlying fundamentals.
“We have an identified pipeline of assets across the UK offering a combination of attractive income and capital growth, as we maintain our focus on building a market-leading portfolio of Tier 3 warehouses and delivering attractive returns to shareholders.”