HARRIS LAMB SELLS WEST MIDLANDS INDUSTRIAL PARKS FOR IN EXCESS OF £2.2M
Harris Lamb has sold two industrial estates in the West Midlands for more than £2.2 million on behalf of CBRE Global Investors.
Expressway Industrial Estate in Birmingham, and units 8-12 on the Cleton Business Park, in Tipton, were sold for a combined total of £2,230,500.
Alex Eagleton, of the business’ Commercial Agency team, said that both estates had attracted a great deal of interest from potential buyers, eventually being bought by a private pension fund and Kindale Enterprises LLP respectively.
A popular multi-let estate, Expressway Industrial Estate in Bracebridge Street comprised of three units totaling approximately 16,600 sq ft, with a passing rent of £70,550 a year.
Alex said: “As a freehold investment located in a well established commercial area, the opportunity to purchase Expressway was very well received, particularly due its reversionary rent, eventually going to two rounds of bids with interested parties and exceeding the asking price of £808,275.
“The final purchase price of £960,000 represents a 6.95 per cent net initial yield.”
Cleton Business Park on Cleton Street is located close to junction one of the M5 and comprises of five units with a combined floor space of around 35,150 sq ft.
Let to established tenants including Eos Works Ltd Kuehne + Nagel Ltd, the site also provided asset management opportunities, providing an excellent investment opportunity that Kindale keen to maximise.
Harris Lamb secured a sale price of £1,270,500 for the estate, equating to a 8.95 per cent yield.
Alex said that recent weeks had seen a surge in investment transactions. Earlier this week, the business announced the investment sale of the Norley Trading Estate in Garrets Green, Birmingham, and the acquisition of Eleven Arches House, Rugby.
“It has been an incredibly busy time with a number of buyers being keen to invest in opportunities to own premises in the Midlands. It’s great to see the region being put so firmly on the map.
“Reports of investors backing away from making such decisions further to the Referendum decision seem to have so far been unfounded,” he added.