Brookfield, through its real estate solutions strategy, alongside Copley Point Capital, a specialist manager and operator of UK industrial real estate, has acquired three distribution warehouses located adjacent to the Northern runway at London Heathrow Airport.
Totalling 220,000 sq. ft., the property comprises three grade A units that serve as critical air cargo logistics hubs for three tenants: DHL, Circle Express and Air Menzies.
The three units possess bonded status, allowing goods to be pre-cleared for aircraft loading before arriving at the airport, thereby bringing significant efficiency to air cargo handling operations. These units are part of the Polar Park estate, which includes one additional unit leased to the Metropolitan Police Authority.
These acquisitions follow the recapitalization of three big-box distribution warehouses by Brookfield and Copley Point in March this year. The 1.4 million square foot portfolio consisted of three Grade A assets in prime locations across the East Midlands and North West markets, with strong transport links.
The three assets in Skelmersdale, Knowsley and Worksop are fully leased and well-positioned to benefit from long-term fundamentals.
Nimit Oberoi, Managing Director at Copley Point said “We are delighted to gain exposure to the highly undersupplied Heathrow market with assets that are well suited for both national distribution and airport-related logistics. We look forward to adding value to these assets by implementing ESG improvements and capturing the inherent rent reversion.”
Alexis Prevot, Managing Director at Brookfield Real Estate Solutions said: “This marks our fourth acquisition through our UK mission-critical warehouse joint venture with Copley Point and our eighth investment in Europe through Brookfield’s real estate sponsor solutions strategy. We will continue to offer solutions to sponsors across all real estate asset classes, with these three distribution warehouses an example of the type of high-quality, well-located assets that we will continue to target across Europe.”
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