Stenhouse Mill Wynd, a prime multi-let industrial estate in Edinburgh, has changed hands in a deal worth around £8.5 million.
The site was sold by Telereal Trillium, the property company, to an undisclosed buyer. Knight Frank acted for the vendor on the transaction, which reflected a net initial yield of around 5.5%.
Located around 2.5 miles to the west of Edinburgh city centre, Stenhouse Mill Wynd consists of two terraces of modern industrial units totalling 63,182 sq. ft. of space.
The site is home to a range of tenants, including Travis Perkins, the building materials retailer; electrical supplies distributor Rexel; and Chubb, the insurer.
John Rae, head of office and capital markets partner at Knight Frank Glasgow, said: “Investor demand for well-let industrial, trade counter, and logistics sites has been strong throughout the Covid-19 pandemic, despite the uncertain wider economic backdrop. There was a great deal of interest in Stenhouse Mill Wynd and we expect similar assets will continue to be an attractive proposition as we move further into 2021.
“Although we are in lockdown, deals are still managing to conclude and investors appear to be looking beyond our immediate circumstances for opportunities. Pricing has been similarly resilient for the right type of assets – broadly speaking prime offices, industrial property, and quality warehousing. We expect activity to pick up in the second quarter when a degree of certainty should return – notwithstanding the rapidly changing situation in which we find ourselves.”
