UK logistics warehouse investor Tritax Big Box REIT has bought an 872,000sqft distribution unit in Avonmouth for £90m (€104m).

The FTSE 250 real estate investment trust said the asset offers 12.8 years of unexpired lease term and opportunities to add further value through a potential lease extension.

Constructed in 2008, the building is the largest wine production, warehouse and distribution centre in Europe, the company said.

Colin Godfrey, CEO, fund management at Tritax, said: “In line with our strategy, we continue to monitor the market closely for attractive acquisition opportunities.

“This is a key asset, let to one of the world’s largest wine companies by volume, in a strong and increasingly important location for logistics in the UK.

“This state-of-the-art asset, acquired off-market, provides a valuable and long-term income stream. The tenant has committed heavily to this award-winning facility, which is the largest wine warehouse and distribution centre in Europe.”

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