B8RE release the latest edition of their North West Industrial Market Report – July 2017

We are pleased to announce our bi-annual market report focussing on the North West Industrial and Logistics Market.
H1 2017 highlights include:

•Total value of NW industrial investment transactions during H1 2017 stood at £345m. This is a post recession record for H1 and an increase of 40% when compared to the £245m transacted in H1 2016.

•Momentum has grown throughout H1 with transactional activity in Q2 (£268m) vastly outstripping Q1 (£77m)

•The NW investment market has been reasonably resilient thus far to the current political climate. We are still seeing investor preference for quality, whether that be in terms of the unexpired term (>10 years) or strong property fundamentals.

•Occupier take-up in H1 2017 totalled 1.4m sq ft (9 transactions), slightly down on the 1.7m sq ft recorded in H1 2016. A further 750,000 sq ft is currently under offer and strong take up in H2 is expected.

•H2 will see 7 new speculative big box schemes, providing an additional 488k sq ft to the 1.12m sq ft remaining (still less than 12 months take up).

•Strong demand has continued in the mid-range / SME market with prime rents for new build / Grade A buildings now firmly established at £7.00 per sq ft.

•The lack of supply has seen Funds / Developers commit to further SME speculative developments in H1 with a number of proposed schemes due to PC in H2 2017.

Should you require any additional information please do not hesitate to call a member of the team.

Success at Severnside Industrial Estate, Trafford Park

Harbert European Real Estate Fund III has secured further lettings at their Severnside Industrial Estate in Trafford Park, Manchester.

Unit 9/10 Severnside, comprising a refurbished unit extending to 15,763 sq ft with a self-contained yard, was let to Essential Fleet Services whilst Unit 15 extending to 10,500 sq ft was let to SSH Property Investments Ltd.

The above are the latest in a series of new letting at Severnside with close to 100,000 sq ft being let on the estate in the last 12 months including 22,000 sq ft let to Palletower and 19,000 sq ft let to City Air Express.

Paul Thorne from B8 Real Estate commented “These latest lettings follow a substantial refurbishment program undertaken by Harbert European Real Estate Fund III and highlight the continuing occupier demand for good quality accommodation such as is available at Severnside. With only 3 units still available, one of which is under offer, we expect to have the estate fully let by the end of the year.”

Other businesses on the estate include Wolseley (Pipe Center), Brenntag, and ERS Medical Express amongst others.

The 3 remaining units on the estate range from 5,600 sq ft to 9,600 sq ft and are available at the quoting rent of £5.75 psf.

Severnside forms part of the wider Harbert multi-let portfolio, which provides a range of industrial units from 1,000 to 35,000 sq ft within multi-let estates such as Westbrook Park, Longwood Park, Circle South, Guinness Road Industrial Estate and the Redwing Centre.

B8 Real Estate and JLL act as joint agents on the above in conjunction with CBRE Asset Management.

Further success at Heywood Distribution Park, Manchester

Heywood Distribution Park is celebrating further success with its largest letting in the last 12 months.

Unit M1 comprising a fully refurbished warehouse facility of 101,245 sq ft has recently been let to household goods supplier Kleeneze on a 5 year lease at a rental equating to £4.50 psf.

Steve Johnson of Joint letting agent B8 Real Estate commented “The lease length and rental achieve reflected the high quality refurbishment previously undertaken which included a new roof and forms part of an ongoing improvement strategy across the whole of the park. The tenant was also attracted by the high level of security on site, something which Heywood Distribution Park is synonymous with.

The largest unit now currently available is H2 a speculative high bay warehouse of 149,000 sq ft.”

B8 Real Estate are joint agents with Savills and CBRE in conjunction with CBRE Asset Management.

Expanding Agency Team at B8 Real Estate

B8 Real Estate is pleased to announce another addition to its growing agency team. Anthony Mellor, has joined the firm this summer following the completion of his postgraduate course in Real Estate at Sheffield Hallam University.

The appointment follows on from Thomas Marriot, who joined the agency team last summer after spending his sandwich year with the firm and then completing his degree course at Nottingham Trent University. The agency team now comprises of Jon Thorne, Steve Johnson, Paul Thorne, Thomas Marriot and Anthony Mellor making it one of the most expanding and strongest industrial agency teams in the region.

Comments from Anthony Mellor:

“I am very much looking forward to beginning my career at B8 Real Estate with opportunities to gain invaluable experience with the leading agency and investment industrial agents in the North West. I will be primarily dealing with occupational agency instructions while working towards a full RICS professional qualification through the APC”.

Our latest agency instructions can be found at http://www.b8re.com/property-search/

Should you wish to discuss any aspect of both your requirement or/and property for disposal, please do not hesitate to contact our agency team today on 01925 320520.

Fully Let at Premier Park, Trafford Park

Lothbury Asset Management are celebrating a succession of recent lettings at Premier Park, Trafford Park.

A total of 39,130 sq ft has been let over 4 separate lettings resulting in the scheme now being fully let.

Iceland Foods have taken the lease on Unit 3 extending to 15,630 sq ft; online fashion retailer Maniere Du Voir have taken 11,150 sq ft at Unit 7; graphic design company Creation 360 have taken 7,656 sq ft at Unit 1 and finally Cableglands have taken Unit 16 extending to 4,724 sq ft.

All the above lettings were agreed on a minimum 5 year lease term with a new headline rent of £7.00 per sq ft being achieved.

Built in 2008, Premier Park is a fully enclosed estate comprising 20 self-contained units benefitting from 24/7 onsite security and CCTV. Existing high-profile occupiers on the estate include The BBC, The Fragrance Shop and Indesit.

Paul Thorne of B8 Real Estate said, “As Trafford Park’s most modern multi-let estate, Premier Park is one of the few schemes able to satisfy occupier demand for high quality Grade A industrial accommodation. These lettings highlight the continued SME occupier demand in Trafford Park which in turn has resulted in low voids rates and record rental levels being achieved.”

B8 Real Estate and JLL are joint agents acting in conjunction with Lothbury Investment Management.

Fully Let at Broadfield Business Park

Acting on behalf of Columbia Threadneedle Investments, B8 Real Estate has secured a letting of on the last remaining unit at Broadfield Business Park, Heywood.

Unit 6 extending to 23,140 sq ft has been let to Naylor’s Equestrian by way of a new 10 year lease at a rent of £5.50 per sq ft.

Naylor’s Equestrian are an established family owned local business supplying equestrian products both online and from their retail store in Rochdale.

Paul Thorne of B8 Real Estate said “Naylor’s Equestrian were attracted by the high specification provided at Unit 6 Broadfield Business Park including 6m eaves, two storey offices and a substantial secure service yard.  With the estate now fully let this latest letting again highlights the Park’s ability to satisfy occupier requirements for good quality industrial accommodation”.

Naylors Equestrian will join other established occupiers on the estate including Martin Brower, Alliance Disposables and McCormicks Limited.

B8 Real Estate and JLL advised Collingwood Rigby who asset manage the estate on behalf of Columbia Threadneedle Investments.