InfraRed Capital Partners Limited (“InfraRed”), on behalf of its InfraRed European Active Real Estate Fund II, has sold a portfolio of 22, predominantly multi-let, industrial estates to Mansford LLP (“Mansford”) for in excess of £60 million, representing a net initial yield of c.8%. The portfolio comprises properties located throughout the United Kingdom with a combined floor area of 1.6m sq ft and over 200 tenants.
InfraRed acquired the holding in 2010 to implement a value-add strategy while receiving a double-digit running yield. InfraRed has actively managed the assets, investing approximately £4m on improvements to the estates, and achieved over 250 lettings and lease re-gears. Market conditions permitted the disposal of the portfolio ahead of schedule, offering the purchaser the opportunity to pursue further added value opportunities.
Chris Huxtable, Head of European Real Estate at InfraRed Capital Partners commented:
“Our team has a long track-record of successfully managing and adding value to multi-let estates and we have acquired, enhanced and sold over 14m sq ft of industrial and logistics assets over the years. We have sold this portfolio having completed our value add strategy but we remain committed to the sector. We have already acquired c. 2.4m sq ft of UK industrial multi-let industrials in the North West for our new Fund over the last 12 months and we are continuing to seek further opportunities.”
GVA and Taylor Wessing acted for InfraRed. Mansford were represented by Mishcon De Reya.