BlackRock Real Estate has agreed a £150m (€190m) joint venture to invest in the UK’s industrial sector.
BlackRock has partnered with private firm Canmoor to launch the BlackRock Industrial Trust, a wholly owned subsidiary of the BlackRock UK Property Fund.
The venture is targeting high-yielding industrial estates valued at £5m-15m.
The aim of the venture is a portfolio of at least £150m.
BlackRock will maintain oversight of investment strategy, while Canmoor will manage a portfolio of eight multi-let estates across the UK, as well as source new acquisitions.
Justin Brown, BlackRock UK Property Fund managing director and portfolio manager, said that, with the UK economic recovery gradually gaining momentum, the company expects the industrial sector to continue delivering strong performance.
“Smaller estates in particular will provide significant opportunities for yield,” he added.
The BlackRock UK Property Fund, which invests in a range of assets, has more than £2.9bn in assets under management.
Investment structures include funds, co-investments, joint ventures and customised separate accounts.
Canmoor, which has offices in London, Manchester and Birmingham, currently has an 11m sqft portfolio, as well as a development portfolio funded by institutions and private investors.
