Urban Logistics REIT has acquired a logistics site in Hoddesdon, Hertfordshire, for £34.3 million at a 5.4% NIY, as part of the deployment of the capital raised from the company’s recent fundraising.
The 12-acre site comprises five units, three of which are let to Müller UK & Ireland Group, a major producer and distributor of dairy products, until 2030 with a rent review in 2025. The passing rent is £8.75 per sq ft. The other units are currently vacant and provide an opportunity for considerable value enhancement through active asset management, with several potential occupiers already expressing interest.
The logistics site in Hoddesdon, Hertfordshire is located seven miles from the M25 and benefits from excellent access as well as a dedicated local power supply, making it a highly attractive “last touch” distribution hub.
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“This is another high quality off-market acquisition that formed part of our existing pipeline. The site is well located in the South East for delivering essential goods the “last mile” to customers and businesses. Significantly, it offers excellent opportunities for value enhancement through active asset management. Despite the Covid-19 restrictions currently in place, I’m pleased to report that all of our tenants remain operational,” said Richard Moffitt, Chief Executive.