M7 buys Scottish industrial estate for new Middle Eastern separate account
M7 Real Estate has acquired a 115,000sqft Scottish industrial estate for a new Middle Eastern separate account mandate.
The pan European investor and asset manager said it bought the Tweedbank Industrial Estate from funds managed by Catalyst Capital for £4.6m (€5.3m).
M7 said the acquisition is in line with the sovereign wealth investor mandate’s objective of generating an ”attractive income return” with opportunities to add value by leveraging the continuing strength of the industrial occupier market in the UK.
Tweedbank Industrial Estate comprises is 93% let to a range of occupiers.
Euan Burns, divisional director at M7, said: “This acquisition of a dominant asset in this location provides sustainable income but also offers future potential to add value through asset management. It also underpins M7’s commitment to the Scottish market after a very active 2018.
“We have identified a pipeline of transactions aligned to the strategy of this mandate, which we continue to progress.”
Guy Wilson, a partner of Catalyst Capital, said: “We are pleased to have restored Tweedbank Industrial Estate to near full occupancy following physical improvements to the buildings and the estate and the completion of our leasing programme.
“This is one of a number of sales we have recently realised for Catalyst European Property Fund 2 in line with the business plan.”