Tamar industrial fund sells assets in Norway and Belgium

Tamar European Industrial Fund has announced the sale of assets in Norway and Belgium for a total consideration of £16.5 mln (EUR 21 mln) as well as a major letting in France.

The first sale involves an asset located in Drammen, 40 km southwest of Oslo, which houses a logistics warehouse of 18,352 m². The property is fully let, with 90% of the rent secured by two Norwegian subsidiaries of Toyota on recently signed leases which expire at the end of 2020. The transaction achieved a gross sale price of £15.65 mln (NOK 148.35 mln), prior to discounting for tax, reflecting a net initial yield of just over 8.5% and a 6.1% discount to the March 2012 valuation. The purchaser was an investor represented by a Norwegian equity syndicator.

The second sale comprises two further units at Sint-Pieters-Leeuw, an industrial estate in Belgium, marking a continuation of the unit-by-unit sales strategy which the fund commenced in the second half of 2011. The two units, which were around 50% vacant, have been sold to an owner-occupier for £0.83 mln, which is a significant premium to valuation. These disposals mean that 83% of the units at the industrial estate have now been sold, with only two remaining.

Furthermore, TEIF has let a 10,000 m² warehouse in Trappes, 24 km southwest of Paris, to German truck manufacturer Jungheinrich on a six-year firm lease. The asset, which was purchased opportunistically with vacant possession at the end of 2011, will now be marketed for sale.