Stenprop acquires 73,000 sq ft Glasgow industrial estate

Stenprop has acquired a 73,248 sq ft industrial estate comprising nine warehouse units near Glasgow city centre. It has bought St Andrews Industrial Estate for £5.5m. The price reflects a value of £75 per sq ft and a net initial yield of 7.3% Seven units are currently let to tenants including storage, trade counter and manufacturing firms, delivering annual passing rents of £428,936, equating to £5.85 per sq ft. The acquisition is part of Stenprop’s strategy to become a 100% MLI business by 2022. It is the third deal since the start of the pandemic and has seen MLI assets rise to make up 60% of the portfolio. This is expected to rise to 62% following completion of the Neucӧlln Carrée retail park in Berlin, which is expected to complete early next year. Will Lutton, head of investment at Stenprop, said: “Current indications are that the strong occupational demand for urban warehouse space that we are seeing, led by e-commerce penetration, is set to continue. “This acquisition maintains our transactions momentum since the coronavirus pandemic and is another step forward in pivoting our entire portfolio towards the MLI sector.”   To send feedback, e-mail emma.rosser@egi.co.uk or tweet @EmmaARosser or @estatesgazette