Last mile specialist Valor Real Estate Partners has completed the acquisition of two multi-let urban logistics assets in London, in separate transactions, for £25 mln (€29 mln).
The highly reversionary, modern properties, totalling 72,000 ft2 (6,700 m2) of lettable space, are located in established industrial submarkets, and extend Valor’s UK portfolio to 54 assets across 5.2 million ft2, in what is Europe’s dominant e-commerce centre.
In Staines, West London, Valor has acquired two units totalling 42,000 ft2, which are fully let to two distribution businesses. In Merton, South West London, Valor has acquired a 30,000 ft2 property, comprising five units which are fully let to two light industrial tenants. Both assets benefit from excellent arterial connectivity.
With new development starts in recent years significantly below the long-term average and 3,700 acres (1,500 ha) of industrial land lost to alternative uses in the last 20 years, the London logistics market continues to be characterised by a critical shortage of modern, fit for purpose space, which is underpinning strong rental growth.
Jeremy Achkar, head of UK investments, commented: 'These two separate acquisitions demonstrate our continued commitment to investing in the high growth last mile logistics sector, across a select number of dominant UK urban centres.'
Across the transactions, Valor was advised by SB RE and Lewis Ellis.
