Network Rail, owner and infrastructure manager of most of the railway network in Great Britain, has signed a 10-year lease on a Birmingham industrial unit, agreeing what is understood to be a record rent for secondary mid-box property of its size within the region.
In acting on behalf of Lothbury Investment Management, Harris Lamb oversaw the letting of the 35,777sqft Unit 1, Meteor Park, Aston, where Network Rail completed the new lease within weeks of the former lease expiring.
Neil Slade, Director in the Agency Department at Harris Lamb, said: “Meteor Park is one of the last speculatively built Estates prior to the recession and with little development of similar units since, rents and demand for high quality modern units has grown exponentially over recent years.
“This particular Estate has excellent access links due to its immediate access to Junction six of the M6 and provides a secure, gated environment for its occupiers, where we saw significant levels of demand when we placed it on the market.
“The subject property falls into the prime mid-box market where supply in the region is so weak, especially the better specified units. This particular unit had only one previous tenant, was refurbished to an effective ‘as new’ condition and provides the standards and specifications demanded many modern businesses, such as good eaves height, energy performance, good yard and parking and excellent road links,” he added.
“The property was let within weeks of the former tenant’s lease expiring off a headline rent of £7.25 per sqft, that is believed to be a record level for Birmingham on secondary mid-box premises of its size. Furthermore, there were several parties who viewed the building whose requirements remain live, reflecting the continuing demand for comparable units within the region and where we advocate the build of similar properties in the general Midlands conurbation, such is the discord between supply and demand at the current time,” Neil said.