16th May 2025 14:03
(Alliance News) - Wynnstay Properties PLC on Friday said it has bought a property in Cambridge for a total cash consideration of around GBP2.8 million.
The Powys, Wales-based agricultural and specialist merchanting firm exchanged contracts with two private investors for units 3 to 7 at Pembroke Avenue, Denny End Industrial Estate, Waterbeach in Cambridge.
The property is freehold and comprises a terrace of five light industrial warehouse units, as well as an "extensive" front service yard that forms part of an established industrial estate beside the A10 trunk road.
Three units are currently let as warehouse space to a specialist manufacturing business, one to a national motor parts trade counter, and the remaining unit on a long-leasehold interest.
Its rental income totals GBP183,100 per year, on leases with a weighted average lease term of seven years and a net initial yield of 6.2%. Wynnstay Properties anticipates this to rise to a revisionary yield of 6.45% following rent reviews in 2028 and a lease renewal or reletting in 2029.
The acquisition is estimated to cost around GBP3.0 million in total, inclusive of stamp duty land tax and due diligence fees.
The deal will be completed at the end of May.
"These well-let light industrial properties are highly accessible and positioned to benefit from the strong local economy of Cambridge and the impetus it provides for future growth in the region and will broaden the geographic spread of Wynnstay's portfolio," said Managing Director Chris Betts.
Shares in Wynnstay Properties were up 6.4% at 750.00 pence each in London on Friday afternoon. The stock has risen 9.5% over the past year.
By Emily Parsons, Alliance News reporter
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