UK REIT Urban Logistics has acquired a logistics site in Hertfordshire, UK for £34.3 mln (€39 mln) at a 5.4% net initial yield.
The acquisition was financed from capital raised during the company's recent fundraising.
The 12-acre site in Hoddesdon, Hertfordshire, comprises five units, three of which are let to Müller UK & Ireland Group, a major producer and distributor of dairy products, until 2030 with a rent review in 2025. The other units are currently vacant and provide an opportunity for value enhancement through active asset management, with several potential occupiers already expressing interest. The site is strategically located seven miles from the M25 and benefits from excellent access as well as a dedicated local power supply, making it a highly attractive "last touch" distribution hub.
Richard Moffitt, Chief Executive, commented: ‘This is another high quality off-market acquisition that formed part of our existing pipeline. The site is well located in the South East for delivering essential goods the "last mile" to customers and businesses. Significantly, it offers excellent opportunities for value enhancement through active asset management.’
