A £1.2million deal has been struck for an industrial estate in North Warwickshire.
Commercial property specialist Shortland Penn + Moore has sold the second phase of Innage Park in Atherstone to the BLME Light Industrial Building Fund, care of Coba Asset Management and Seven Dials Fund Management, on behalf of Moorhen Properties. Singer Vielle acted for the purchaser.
The deal includes 23 industrial units of varying sizes, totalling 23,046 sq ft.
The estate is let to North Warwickshire Borough Council on a lease that runs for a further six years and the units are sub-let by the Council to individual businesses.
The transaction reflects a 7.96 per cent net yield and Jonathan Moore, of Shortland Penn + Moore, said this type of deal was ‘flavour of the month’.
He said: “This is a good deal for both parties. The vendor is pleased with the price achieved and the purchaser has added a very strong asset to its portfolio.
“The estate was originally constructed in the 1980s to provide starter units to small, local companies. The new purchaser has a further six years of rental income from North Warwickshire Borough Council with potential for future asset management beyond this lease term.
“It’s rare that this type of opportunity comes along and attracted a good level of interest as it offers a strong stream income and solid asset with angles going forward.”
The estate is located on the Holly Lane Industrial Estate on Abeles Way and has strong connections with the regional road network via the A5.