SEGRO has made three acquisitions in London totalling £195 million.
The REIT has acquired Grand Union Trade Park in Park Royal and two assets in Wapping and Clapham, each measuring 2.6 acres in size and providing extensive coverage in the east and west London.
Grand Union Trade Park comprises 100,000 sq ft of industrial space across more than four acres. The estate, which is fully let to a mix of trade suppliers, including Screwfix and Howdens, is adjacent to Tudor Industrial Estate and Premier Park, also owned by SEGRO, offering the potential for large-scale redevelopment in the medium to long-term. SEGRO has acquired Grand Union Trade Park from abrdn for an undisclosed fee.
The asset to be known as SEGRO Park Wapping is situated between the City Fringe opportunity area and Canary Wharf, making it the closest in SEGRO’s portfolio to central London. The asset in Clapham, which will be named SEGRO Park Clapham, is located close to the high street and Clapham North underground station and is within the Nine Elms growth corridor.
Both the Wapping and Clapham assets have been acquired with the intention of re-developing them into two highly sustainable, best-in-class industrial estates, delivering a combined 150,000 sq ft of net-zero warehouse space, ideally suited to help meet the increasing demand for online products and services in the local communities.
The acquisitions are further evidence of SEGRO delivering on its strategic plan to expand its footprint in Greater and Inner London and adds to the company’s future development pipeline following significant purchases in Walthamstow, Waltham Cross, Park Royal, Croydon, Stratford and Belvedere in 2021.
Alan Holland, Managing Director, Greater London at SEGRO, said: “These deals represent further positive momentum in the expansion of our urban logistics portfolio in London and are in line with our strategy to build scale and a customer offering in high-density business and residential clusters.
“The purchase at Park Royal complements our existing ownership in the area and unlocks large scale development opportunities for the future, whereas the acquisitions at Wapping and Clapham underline our ability to identify and secure industrial assets in Inner London locations, enabling occupiers to meet the ever-changing demands of their own customers.
“In an increasingly competitive market we will continue to take an innovative and creative approach to secure well-located assets that can be redeveloped or repositioned as high-specification, sustainable warehouse space.”