Investor Cabot Properties pays almost £18.5m for a 210,000 sq ft logistics hub on the Wirral peninsula in a deal secured by agents B8RE. Tony McDonough reports
A logistics warehouse in Ellesmere Port has changed hands in a deal worth almost £18.5m.
Acting on behalf of an unnamed UK pension fund, agents at B8RE agreed a sale of the 210,000 sq ft facility to Cabot Properties. This asset attracted strong interest and resulted in two rounds of competitive bidding.
US corporation, Honeywell is the occupier of the warehouse and it is the company’s sole distribution hub in the UK. It benefits from a 5.25 years term at a rent reflecting £5.29 per sq ft with an upwards only, open market rent review on November 7 2024.
Simon Wood, investment director at B8RE, said: “Having advised on the acquisition of the asset in 2019, we have been involved throughout the client’s ownership, culminating in the successful disposal.
“This sale completes a successful business plan for our client, who recently negotiated a re-gear with the tenant.
“We received very strong interest from a core group of investors, demonstrating that significant investor demand remains for well specified assets, let to strong covenants in established industrial locations.”
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B8RE acted on behalf of the vendor with Hogan Lovells on the legals. Logix Property acted on behalf of Cabot Properties with Mayer Brown on the legals.
Michael Williams, director of investments at Cabot Properties, added: “We are pleased to have concluded this transaction which aligns with our strategy to focus on high-quality, well-located assets in undersupplied regions such as the North West.
“We remain focused on identifying and acquiring further opportunities across the UK.”