A substantially refurbished and upgraded industrial unit in West Yorkshire has been acquired off market by a private investor in an £8.6m deal. The purchaser was advised by Leeds property consultancy Gent Visick and the Leeds office of Knight Frank represented the vendor. The sale reflects a net initial yield of 6.5 per cent.
Local commercial property specialist Onward Holdings Ltd acquired Normanton 108, in 2015 and after carrying out a substantial refurbishment programme, including a new roof, leased the property to Leman International Transport Ltd.
Fourth-generation, family-run business Onward Holdings took a calculated risk investing in a seven figure ground up renovation of the unit to create a high-quality, modern dedicated logistics facility, within Normanton Industrial Estate on Don Pedro Avenue, adjacent to junction 31 of the M62.
Normanton 108 offers approximately 87,700 sq ft of warehouse space, a 12 dock 10,500 sq ft loading and dispatch area, as well as 10,200 sq ft of office space. It sits in a secure 7.2 acre site, which offers the potential to extend, subject to necessary planning consents.
Garry Howes, director of investment at Gent Visick, said: “Normanton 108 is a quality asset, that has been refurbished to a very high standard, as well as offering future development potential, and it’s let on a long lease to a reputable, international business.
“All this made it an attractive investment opportunity for us to introduce to our client and then proactively target on their behalf. We’re delighted to complete yet another off-market acquisition and we are currently in the process of exploring several other off-market opportunities on behalf of clients throughout the UK.”
Neil Storey, director of Onward Holdings, is delighted that the company’s investment in the facility to create a pristine business unit will benefit the investor and the local area, saying: “We are a successful property company that invests in and cares about the community. Onward Holdings is helping to meet the requirement for jobs and flexible logistics facilities in this vital economic hub. There has been significant investment by Onward Holdings in Yorkshire warehouse facilities over the years – including the recent construction of Phoenix 66 built to the highest possible standards on the Green Lane Industrial Estate in Featherstone – which has attracted a wide range of companies to occupy space, bringing a much-needed jobs boost and business to the region.”
Graham Foxton, Partner at Knight Frank’s Leeds office represented Onward Holdings Ltd.