InfraRed Capital Partners, on behalf of InfraRed Active Real Estate Fund IV, has acquired the portfolio of 25 properties which also includes two development sites. Tony McDonough reports
Merseyside property developer and investor Network Space has sold a 1m sq ft portfolio of 25 industrial sites in a deal worth £93m.
InfraRed Capital Partners, on behalf of InfraRed Active Real Estate Fund IV, has acquired the portfolio which also includes two development sites which will deliver a further 200,000 sq ft of accommodation.
The properties are located throughout the North of England and Network Space will continue to manage it for InfraRed as manager of both the income producing assets and development sites.
Network Space, based in Newton-le-Willows, will actively manage the assets by renewing leases on expiry, letting vacant space and if necessary, undertaking refurbishments. InfraRed will also develop out two sites with Network Space, known as Raven Locks in Salford and Carruthers Street in Liverpool.
Richard Ainscough, chief executive of Network Space, said: “A core part of our strategy has been to grow operational capacity without necessarily relying on our own balance sheet, and the partnership with InfraRed fulfils this perfectly.
“When we decided to sell these properties, most of which we had developed ourselves, we sought to form a partnership that would see us continuing to add value rather than openly market them as we did with the Network North portfolio (a 630,000 sq ft multi-let industrial portfolio sold in December 2017 for £42m).
“The partnership sees us providing development, investment and management expertise to a successful investor in InfraRed and we look forward to developing and growing our partnership with them.”
James Cooper, director, real estate at InfraRed, added: “InfraRed has a 25-year track-record of investing in the industrial sector having acquired and managed over 16m sq ft of assets.
“This portfolio fits our value-add strategy and our conviction in the growth prospects for the North West. The urban cluster of Manchester and Liverpool represents the second largest conurbation in the UK after the London and the South East and a highly dynamic economic zone.”