Colmore Capital has completed the sale of a single let industrial investment in Aston to Ribston UK Industrial Property Unit Trust.
The property is located on the edge of Birmingham city centre, adjacent to the A38M and ½ mile from Junction 6 of M6. The unit lies within Birmingham’s Advanced Manufacturing Hub which has promoted economic and commercial development in the Aston area of the city leading to significant new development and investment in the area over the last few years. There is currently over 100,000 sq ft of new build industrial accommodation under construction in the area.
The subject property comprises a 54,682 sq ft unit on a 2.6 acre site with dual access from Queens Road and Aston Hall Road.
The property is let to Astra Engineering Products Ltd & Frank Dudley Ltd on a lease expiring in December 2039 at a current rent of £227,500 per annum (£4.16 per sq ft). The lease has 5 yearly upward only rent reviews. The tenant has been in the property for over 30 years.
The property was acquired for in excess of the £3,500,000 asking price, which reflected an initial yield of 6.1% and an underlying capital value of only £64 per sqft.
Adam Morgan of Ribston commented “The acquisition of AMH55 follows quickly on the heels of our recent purchase in Sheffield at Presidents Park. Both properties occupy very strong locations within major UK cities and we anticipate them to perform strongly.”
Savills acted for the vendor, Colmore Capital. David Corridan, co-founder of Colmore Capital, said: “This is one of the first properties that Colmore Capital acquired and I am genuinely delighted to have secured the sale to Ribston after a successfully implemented asset management strategy.”