GV&Co closes on £15m Leeds warehouse deal
The 157,000 sq ft building sits within a 10-acre site on Oldfield Lane in Wortley, and has been acquired by an institutional investor.
Sold by London-based investment agency Bidwells, on behalf of a Cambridge college client, the deal reflects a net initial yield of 6.97%.
GV&Co’s investment division acted for the buyer and secured a price of £14.75m.
The main building comprises a single storey warehouse, an adjoining two storey office building along the front elevation, a detached two storey office building, which covers approximately 6,000 sq ft, a hardstanding yard, and a 139-space car park.
The property is let to CarnaudMetalbox Engineering on a recently signed long-term lease.
The company is a leading global designer and manufacturer of the machinery, trackwork and tooling that’s used to make food and drink cans.
Daniel Walker, from GV&Co, said: “This is a high-quality industrial property that has benefitted from an extensive £7.7m refurbishment programme in recent years which included a new roof and cladding as well as major improvements to the heating, air conditioning, ventilation and lighting systems.
“When this is combined with a longstanding tenant, that has been a market leader in its sector since the 1930s, and is clearly committed to investing in its premises, it made it a highly compelling investment opportunity that fits seamlessly into our client’s existing industrial property portfolio.”
Richard Walden, from Bidwells, said: “The sale of CarnaudMetalbox Engineering on Oldfield Lane attracted strong competition from a wide range of investors.
“Having recently re-geared their lease, the tenant demonstrated its commitment to the premises.
“Coupled with a long unexpired term, excellent covenant, and attractive rent review mechanism, this resulted in a fiercely contested bidding process, as industrial buyers demonstrated their confidence in the Leeds industrial market with a number of parties bidding ahead of the quote price.
“It was a pleasure working with Dan Walker at GV&Co on the other side of this sale, which resulted in a smooth and seamless transaction.”
