23rd Sep 2015 06:49
LONDON (Alliance News) - Property investor Hansteen Holdings PLC on Wednesday said it has acquire two industrial assets in the UK in Derbyshire and Teesside for a total of GBP41.1 million.
Hansteen will acquire West Hallam Industrial Estate from DV4 Properties West Hallam Ltd for GBP27.3 million. The site, in Ilkeston in Derbyshire, includes 106 buildings, totalling 1.28 million square foot, and is entirely let to supply chain services group Norbert Dentressangle. It produces an annual income of GBP1.7 million, Hansteen said, for a net initial yield of 6.2%.
The company has also acquire Belasis Business Park in Billingham in Teesside for GBP13.8 million. The site includes 33 business units, totalling 129,136 square foot and produces an annual rental income of GBP1.2 million. The net initial yield is 7.0%, rising to 8.3% on contract rent increases.
"We are very pleased to have acquired these two assets so soon after having raised equity from our shareholders. Both assets offer excellent income security together with the opportunity to enhance returns through asset management," said Ian Watson, the joint chief executive of Hansteen.
By Sam Unsted; [email protected]; @SamUAtAlliance
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