Immobel Capital Partners, the investment management business of Belgian developer Immobel Group, has agreed to acquire 50% of the White Rose Park, an office campus situated just outside of the City of Leeds, from OIRP Investment 10, part of Orion Capital Managers.
The investment values the Park at circa £110 million, representing a net initial yield of c. 6.75% and will be held in joint venture with Munroe K.
The off market transaction is the first investment for the newly launched Immobel Capital Partners and will be the first seed asset forming a key plank in its Green Office Strategy.
This strategy will see it invest in and create a new generation of green offices in leading European cities which have clear demand for a new generation of workplaces and are expected to deliver above-average growth as they benefit from wider trends such as urbanisation, changing demographics and ongoing technological evolution.
White Rose Park is a 28 acre (11 ha) green office campus providing a lettable area of over 500,000 sqft across 9 buildings. It is currently circa 98% let to a range of blue chip organisations including; DAZN, the sports media giant, HSBC, Capita, Telefonica and education and government tenants including the Gorse Academies Trust, the NHS and the Police & Crime Commisioner for West Yorkshire. In addition to 20 acres (8 ha) of open space at White Rose, it also provides a strong business amenity and lifestyle offer to the circa 5,500 people who work at the park, offering a conference centre, outdoor sports pitch, restaurants and a nursery.
Located a two minute walk from the White Rose Shopping centre and a bus or bike ride from Leeds’ city centre, the Park will soon be the beneficiary of a new train station which will connect it to central Leeds in about four minutes as well as to the surrounding suburbs. There is significant identified occupational demand in Leeds for office accommodation such as the White Rose Park which meets the modern day and post pandemic requirements and supply is low. Immobel Capital Partners will work closely with Munroe K led by David Aspin who has been responsible for the evolution of the park and its high quality ESG credentials.
Duncan Owen, CEO Immobel Capital Partners, said: “The acquisition of White Rose clearly aligns with our strategy to stock pick assets which provide opportunities to unlock further value through improvements in their sustainability and social credentials. I have known and worked with David Aspin, CEO of Munroe K, on various projects for over 20 years. Our plan for White Rose Park will see us continuing to evolve the business park in partnership with the Munroe K team into a knowledge and talent-based campus with a focus on delivering tangible ESG improvement. The current use of sustainable materials, extensive electric car charging points, PV cells and 100% on site renewable energy all help the positive ESG impact of the park , meaning our goal for the Park to be fully operationally carbon neutral by 2030 is within our grasp.”