BNP Paribas REIM has exchanged contracts to forward purchase Amazon’s latest fulfilment centre on behalf of an Asian investor in an off-market deal valued at over £125 mln (€157 mln).
The sale represents the largest lot size for a single-let distribution centre ever traded in the UK, BNP Paribas REIM said in a statement.
Located in Bardon, Leicestershire, the property will provide over 1 million sq ft (92,900 m2) upon practical completion, which is anticipated to be in September 2016. Amazon has pre-let the unit on a 15-year lease with fixed increases.
The property is being developed by Mountpark in a joint venture with USAA.
Hugh White, head of national investment at BNP Paribas Real Estate, said: 'As the UK investment market continues to evolve we are witnessing significant interest from international investors in logistics assets. These investors are attracted by the covenant strength, lease length and ever increasing growth in distribution driven, in part, by e-commerce. Effective logistics networks are now ever-more essential for retailers in order to meeting consumers’ need for convenience when shopping online.'
Dowley Turner Real Estate acted for Mountpark and USAA, BNP Paribas Real Estate acted for the purchaser.
Dowley Turner Real Estate acted for Mountpark and USAA, BNP Paribas Real Estate acted for the purchaser.
