UK real estate company Centurion Properties has acquired the Lawnswood business park in Leeds from Canmoor for £17.25 mln (€25 mln), reflecting a net initial yield of 8.6% and an equivalent yield of 9.2%.
UK real estate company Centurion Properties has acquired the Lawnswood business park in Leeds from Canmoor for £17.25 mln (€25 mln), reflecting a net initial yield of 8.6% and an equivalent yield of 9.2%.
The acquisition is earmarked for a new vehicle, Centurion Capital Partners, which is funded by ICG-Longbow, a specialist UK property investment manager.
Lawnswood Business Park comprises eight detached office buildings, totalling 147,355 sq ft (13,700 m2), and is multi-let to 14 tenants and produces a total passing rent of £1.58 mln a year, which equates to £14.74/sq ft. The vacancy rate is 27.4%.
Centurion’s acquisition of Lawnswood is its second business park acquisition this year, following the purchase of Bretby Business Park near Burton-upon-Trent in February.
'At Lawnswood, there is the opportunity to lease the empty space, to explore lease re-gears and lease repositionings and to improve the space through a capital expenditure programme,' said Julian Rooth, founder and CEO of Centurion. 'Lawnswood represents our first acquisition with ICG-Longbow. We are looking for similar opportunities throughout the UK.'
Tudor Toone advised the vendor, Savills advised Centurion and ICG-Longbow.
Centurion was founded in 2000 and its focus to date has been in the industrial sector, where, together with its financial partners, it has assembled a portfolio of around £250 mln of assets.
ICG-Longbow is the real estate debt division of Intermediate Capital Group (ICG), an investment manager solely focused on the UK commercial property debt markets.
