Moorfield has made a small investment in a UK single tenant asset in the West Midlands that is big in significance for the company.
The private investment firm has been scouting opportunities for the new Moorfield Logistics Partners strategy, with a £5.3 mln (€6.1 mln) acquisition of an asset let to an automotive design, engineering and manufacturing company being its debut.
The seller is a UK institutional investor that has not been named.
Moorfield is funding acquisitions for Logistics Partners from commitments made to its Real Estate Fund V, previously reported on here.
The debut asset measures 56,746 ft2 over two warehouses that have two separate leases with WAULT to expire of 3.60 years, at a combined passing rent of £380,441 per annum (£6.70 per ft2).
Chris Perera, senior investment manager, said: ‘We successfully sold all our outstanding logistics investments in Q4 2021 and see now as an opportune moment to start investing in the sector again.’
‘We will focus as before on single-user, mid-box urban logistics assets, with a view to creating a high-quality portfolio of well-located investments.’
‘The UK logistics market has strong underlying fundamentals and the mismatch between supply and demand will help drive rental growth, which is why we’re positive on the outlook for the sector despite the wider macroeconomic circumstances.’
Atlas Real Estate advised the vendor. Moorfield was advised by Savills.
