Industrial developer and asset manager Chancerygate and international real estate firm Hines have expanded their UK joint venture by acquiring two sites with a combined gross development value (GDV) of around £50 mln (€58.4 mln).
The sites in Bournemouth, Dorset and Beeston, Nottinghamshire span a total of 6 hectares and will deliver 32,300 m2 of multi-unit industrial and trade counter buildings.
Hines and Chancerygate established the partnership in September 2018 to deliver last-mile and owner-occupied logistics across the UK, with £100 mln of seed capital. In recent years Hines has diversified its operations in the UK, initially through retail before moving into student accommodation.
Ross Blair, senior managing director and head of UK at Hines, added: 'These are two very promising acquisitions for the joint venture that will deliver much sought-after quality industrial schemes. Our partnership combines Chancerygate’s significant industrial market expertise with Hines’ investment, development and asset management capabilities.
'We are very encouraged by the joint venture’s progress and we are actively looking at further opportunities in this growing sector.'
The JV's first two site acquisitions in February were in Tunbridge, Kent and Cheltenham, Gloucestershire, comprising 18,750 m2 and a GDV of £36 mln.
The site in Bournemouth, Ferndown Park, covers 3.5 ha and will provide 24 freehold and leasehold units ranging in size from 275 to 3,000 m2 and is due to be ready for occupation in 220.
The 2.5 ha Trent Gateway site in Beeston, part of Beeston Business Park, will be developed with 16 units ranging from 215 to 4,630 m2 and are scheduled for occupation later in 2019.
Since being founded in 1995, Chancerygate has become the UK's largest multi-unit industrial developer and asset manager and is aiming to triple the total size of its completed developments in 2019, having delivered 31,500 m2 last year.
The company's pipeline amounts to more than 185,000 m2 of industrial space under construction or ready for development. It also has more than £220 mln of assets under management in 355 units totalling more than 450,000 m2.
Managing director Richard Bains said: 'These are excellent acquisitions for our joint venture. They further demonstrate our intent and ability to find and secure locations throughout the UK which have untapped potential.
'In such areas, there is always high demand for the excellent standard of our product and high level of service we deliver.'
