Greater Manchester Pension Fund (GMPF) has added a 272,000sqft industrial estate in the East Midlands of England to its real estate portfolio.
Schroders Capital’s real estate arm, acting on behalf the £29.4bn (€34.9bn) UK local government pension scheme, has acquired Brackmills Central Industrial Estate in Northampton from M&G Real Estate for £35m.
The 31-unit property on a 19-acre site has the potential to benefit from a significant number of lease events in the coming three years, Schroders Capital said.
Schroders Capital said it intends to carry out a refurbishment programme to “decarbonise and modernise the asset in keeping with GMPF’s wider environmental, social and governance strategy”.
Philip Scott, fund manager and head of Manchester at Schroders Capital, said: “The acquisition of Brackmills Central aligns with GMPF’s strategy to opportunistically acquire higher yielding and larger lot size assets, in high conviction sectors that offer the potential for income-focused returns by implementing deliverable asset management strategies.”
Matt Good, lead asset manager at Schroders Capital, said: “The East Midlands is considered a key industrial and logistics hub offering access to much of the UK consumer market within a six-hour drive.
“Supply-demand dynamics are favourable, and we are well positioned to manage Brackmills Central on behalf of our client GMPF, where we will implement a business plan focusing on decarbonisation and sustained income growth.”
In November 2021, the real estate arm of Schroders Capital won the bid to manage GMPF’s diversified UK property portfolio of direct real estate assets in various sectors including industrial, office, retail and hotels.
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