Johnson Controls, Speke - B8RE

Further Investment in South Liverpool

F&C REIT Asset Management have acquired a new distribution unit in South Liverpool from developer Marshall CDP Limited. 

The building comprises a new fully fitted distribution facility constructed for Johnson Controls Automotive UK Limited and provides in total 151,770 sq ft. Johnson Controls have committed to this unit for a term of 15 years. F&C REIT paid Marshall CDP £11,900,000 for the building reflecting a net initial yield of 6.45%.

Simon Wood of B8 Real Estate, who acted on behalf of Marshall CDP in both the letting and the investment sale, said:

“This shows the continuing success story of this area of South Liverpool both on an occupational basis and investment basis and reinforces the North West as a prime distribution/industrial region for institutional investors”.

F&C REIT Asset Management were represented by the Manchester office of Knight Frank.

Duo of Lettings at Trio

Acting on behalf of Zurich Assurance, B8 Real Estate and JLL have confirmed two recent lettings at Hermes. 

Parcelnet has taken Unit 1 totally 47,000 sq ft on a new 10 year lease and PDS have taken Unit 3 totalling 68,000 sq ft on a 10 year lease. 

Howard George of B8 Real Estate, who acted jointly with JLL said:

“Both parties were attracted by the quality of the accommodation and the communications within the region. Both companies are new to the area and will be making significant investment. PDS has relocated from Wigan.

“Hermes has opened a new parcel distribution centre to cover the Liverpool City Region”.

PDS were advised by Savills. Hermes were represented by their in-house property team.

B8RE Announces Major Letting in North Liverpool

B8 Real Estate are pleased to announce another significant warehouse letting in North Liverpool, close to the Port of Liverpool. 

IDR Logistics have taken 106,000 former Dams International Building on Dunnings Bridge Road on a 5 year lease. IDR are expanding from their current facility in Bootle and saw this opportunity as an ideal site, with its proximity to the Port and the national motorway network.

Howard George at B8 Real Estate who acted for the landlord, Dawpool, said:

“The market for industrial and distribution space in the region remained strong with supply particularly tight in the quality end of the market. There is not a single building available in Liverpool City region over 100,000 sq ft that was built in the last 20 years.

“There is an urgent need for new quality stock to be provided in the region otherwise the growth in logistics and manufacturing as outlined in the latest Superports report will be hampered over the next couple of years. Most companies cannot afford to wait the time for buildings to be constructed on a design and build basis and therefore need to be offered existing quality stock.”

B8RE Advise Langtree on Major Site Acquisition

Industrial developer Prologis has sold 270 acres at the former Parkside Colliery in St Helens to Langtree in an off-market deal. 

The disposal is confirmation of Prologis’s strategy announced last year to concentrate future development on prime sites in the Midlands, London and the South East. Prologis withdrew plans in 2010 for a major development on the former coal pit site, which closed in 1993, blaming market conditions.

The developer is understood to have spent millions of pounds on consultants fees preparing for the development. Before the recession Prologis proposed building 7m sq ft of warehousing on the site. Prologis declined to comment. Langtree has acquired the freehold for the site and will now work with the council to produce fresh development plans. In a statement the council said there were no details on timescales other than a planning application could be submitted as early as this year.

Cllr Barrie Grunewald, council leader, said:

“Parkside is one of the most important assets this borough has within its boundaries and offers the potential to create thousands of new jobs. This is a prime development site in the North West and offers a unique destination – sitting alongside the M6 and the West Coast mainline. It is hoped to reinstate the rail link with the mainline to create an inter modal freight centre.

“Langtree’s headquarters is in the borough and the developer worked closely with the council on the new rugby league stadium in the town, completed in 2011.”

John Downes, chief executive of Langtree, added:

“The former Parkside Colliery site is a tremendous development opportunity and we are delighted to have joined forces with St Helens Council to bring the site back into beneficial use. At its peak some 2,000 people worked at Parkside, mainly in skilled jobs, and it would be fantastic if we could bring such job numbers back to the site.”

M6 Epic - B8RE

Epic Start for Barwood on M6 Site

After recently completing the purchase of the former Georga Pacific site on South Lancs Industrial Estate, Barwood and Legal & General Property have agreed the first pre-let on the 35 acre site known as M6 Epic.

Dole Fresh UK have agreed terms to take a new bespoke banana ripening facility of approximately 61,000 sq ft on a new 20 year lease. Construction of the new facility has recently started on site with completion due in June 2014. In addition a detailed planning consent is now in place for up to 515,000 sq ft with Barwood in advanced discussions with several other occupiers for large scale facilities.

Representing Barwood/Legal & General, Steve Johnson of B8 Real Estate said:

“We are extremely delighted to have been able to secure the first tenant on the scheme within such a short space of time which we believe was down to providing Dole Fresh with certainty over delivery timescale and by having detailed planning, infrastructure and funding in place.

“This certainty is proving attractive to other occupiers on the remaining 32 acres where we can accommodate bespoke facilities from 50,000 sq ft upwards.”

Retained agents on the scheme are B8 Real Estate, Moriarty & Co and CBRE. Doherty Baines represented Dole Fresh.

 

Vantage Point Sold in £19.9m Deal

B8 Real Estate acting on behalf of Hardman Estates Limited have sold Vantage Point in Manchester’s Spinningfield district for £19.9m to Loftbury Property Trust Limited.

Tenants of the building include Allied Irish Bank, Oliver James Associates, Saccomann, North Edge Capital and 25 Moorgate Limited. The building provides in total 50,000 sq ft.

B8 Real Estate acted for the vendor and OBI Property acted for the purchaser.

SWIP and Centurion Complete Major Stockport Letting

Scottish Widows Investment Partnership Property Trust and Centurion Properties, the asset and development manager, have completed a large industrial unit letting in South Manchester.

Wilkinson Furniture Ltd has leased the refurbished 84,000 sq ft BLOC 84 unit at Lawnhurst Trading Estate on a new 5-year lease at a stepped rent that increases to £3.00/sq ft in the third The letting completes a period of intense activity at the estate since the start of the year. More than 120,000 sq ft of vacant space has been let to six new occupiers, while three others have renewed their leases.

Steve Johnson of retained letting agents, B8 Real Estate, said:

“Acting on our advice, the Landlords took a proactive view by undertaking good quality refurbishments to all the vacant units which has undoubtedly helped us secure a large number of tenants in such a short space of time. In addition we were able to offer flexibility towards Wilkinson Furniture’s occupational requirements which allowed us to exchange contracts within 14 days of instructing lawyers.”

Michael Jones at Centurion Properties’ Manchester office said:

“The estate has benefited from our direct asset management and refurbishment approach where we have re-positioned the estate in the South Manchester market, attracting new tenants such as Honeywell and Inchcape VW, as well as retaining existing tenants such as Thales. We have one further letting with solicitors which will take us up to 100% occupancy”.

Joint letting agents at Lawnhurst are Jones Lang LaSalle and B8 Real Estate.

Investec Sells Manchester Warehouse For £13M

Investec Bank Plc. (advised by B8 Real Estate) has today announced the sale of a distribution warehouse in Greater Manchester.

The property was acquired by Delin Capital Asset Management for circa £13m representing a net initial yield of 7.3%. Located on the Agecroft Commerce Park, the 222,000 sq ft distribution unit is let to Bunzl Retail & Health Care Supplies Limited for a term of unexpired to break of 3.5 years and to lease expiry 13.5 years. The investment was only acquired by Investec in November 2011.

Crispin Gandy of Investec commented:

“The UK market has become very competitive of late with a surge in demand not only from UK institutions but also overseas investors. Investec were keen to capitalise on this movement in the market and are delighted with the sale.”

Investec were advised by B8 Real Estate. Delin were advised by Deloitte.