CPP advises on £31.75m purchase of Eddie Stobart hub in Leeds
October 15th, 2018
Leading commercial property consultancy Commercial Property Partners LLP (CPP) has advised on the purchase of a 413,959 sq ft warehouse and logistics facility on Sherburn Enterprise Park.
Acting on behalf of Palmer Capital and SEDCO Capital, CPP provided acquisition advice on the £31.75m purchase from NFU, reflecting a net initial yield of 5%. The 25-acre site houses a distribution warehouse wholly occupied by Eddie Stobart. The unit is one of the company’s main distribution hubs, and is let to Eddie Stobart on a full repairing and insuring lease – with approximately 17 years now remaining.
Commenting on the deal, founder-partner at CPP Toby Vernon, said: “The prime location of this site in Yorkshire plays an important role as a hub for Eddie Stobart, offering logistic services throughout the region. The property offers superb transport links and a network of growing manufacturing and logistic businesses are now in the area.”
Rupert Sheldon, Head of Core REIM at Palmer Capital, added: “This asset is a perfect match for our partner SEDCO Capital and demonstrates its on-going commitment to quality real estate in growing locations. The lot size, long FRI lease to an established covenant and highly attractive rent provides optimal risk adjusted returns. We are seeking other similar transactions to deploy further capital into the UK before the end of the year.”
CPP acted jointly with Roebuck Asset Management, and Knight Frank acted for the vendor.