InfraRed Capital Partners Ltd, on behalf of the InfraRed Urban Logistics Income Fund (“IULIF”), has acquired 162,000 sq ft of high-quality multi-let industrial space at Mere Grange, St Helens, from Network Space for £17,600,000 reflecting a net initial yield of 5.50%.
The investment follows InfraRed’s initial £93 million acquisition of a 1 million sq ft portfolio of 25 industrial sites and two development sites from Network Space in 2018, on behalf of the European InfraRed Active Real Estate Fund IV.
Dean Harrison, Investment Director at InfraRed Capital Partners, commented: “The asset’s proximity to Liverpool and Manchester and direct motorway access to the M62 positions it well for last mile delivery and urban servicing. The recent letting to a global e-commerce retailer is evidence of the asset’s attractiveness for e-commerce occupiers.
“The accelerated shift to e-commerce during recent months has increased demand for modern, high-quality urban logistics assets. We are looking to expand our urban logistic holdings in the UK and Western Europe throughout 2020 and beyond with substantial capital available for deployment.”
Network Space has a long history at the 30-acre site, having initially entered into a Development Agreement with Homes England in 2007.