Eighteen industrial estates acquired for a combined value of circa £37 million
Europa Capital (acting on the behalf of Europa Fund IV) and M7 Real Estate LLP are pleased to announce the formation of their second joint venture. The partnership has acquired 18 multi-let light industrial estates from a number of vendors including: The Industrial Trust, The Pritchard Group, Helical Bar and Hermes.
The assets include estates in Newton Aycliffe, Hull, Telford, Cannock and East Kilbride. The portfolio consists of 258 units across the 18 estates and provides over 1,640,000 sq. feet of predominantly industrial accommodation. The portfolio is currently let to over 150 tenants. This portfolio was acquired for approximately £37 million, reflecting a net initial yield of circa 12% and a reversionary yield of over 14%.
Europa Capital and M7 had previously created LIPP (The Light Industrial Property Partnership), which, between 2010 and 2012, acquired 32 estates, with a total investment of over £95 million.
James Fortescue at Europa Capital said, “”We are delighted to have created this portfolio with M7. We believe that this sector should continue to deliver attractive income returns and we look to improve the capital values through active asset management and capital expenditure.””
Richard Croft, M7 Real Estate’s Senior Partner noted, “”The portfolio that has been assembled generates a strong cashflow, with a highly diversified tenant base, and provides a number of early asset management opportunities.””
For further information please contact:
Gordon Simpson/Charlotte Whitley, RLM Finsbury: +44 20 7251 3801
About Europa Capital:
Europa Capital is an established real estate fund management group operating across Europe adding value through risk-based acquisition strategies and active asset management on behalf of its investors.
Since 1995, Europa Capital’s Principals have collectively raised 7 real estate funds and committed to over 75 transactions totalling some €7.0 billion across 18 European countries.
The Europa Funds benefit from Europa Capital’s established network of partners across Europe who co-invest in acquisitions made by the Europa Funds. These country and joint venture partner relationships in some cases extend back more than 20 years.
Further information can be found at www.europacapital.com.
Europa Capital is a member of The Rockefeller Group (“”RGI””). RGI is a strategic investor alongside Management.
Europa Capital Partners LLP and Europa Capital LLP are authorised and regulated by the Financial Services Authority.
About M7 Real Estate LLP
M7 Real Estate LLP is one of the UK’s leading industrial asset managers. Set up in 2009 it has assets under management of approximately £350 million in four separate joint ventures and its property company VBRi Ltd. The total floor area under management is in excess of 12,000,000 sq. feet.