Oxenwood bags Walkers distribution warehouse
Oxenwood Real Estate has bought a 122,275 sq ft distribution warehouse let to Walkers, for £12.1m.
The warehouse, which supports Walkers’ crisp manufacturing complex in Leicester, was bought from an undisclosed vendor on behalf of Oxenwood Catalina, the firm’s joint venture with Catalina Holdings.
The deal for the property, on Bursom Industrial Estate, reflects a net initial yield of 5%.
Oxenwood Real Estate has bought a 122,275 sq ft distribution warehouse let to Walkers, for £12.1m.
The warehouse, which supports Walkers’ crisp manufacturing complex in Leicester, was bought from an undisclosed vendor on behalf of Oxenwood Catalina, the firm’s joint venture with Catalina Holdings.
The deal for the property, on Bursom Industrial Estate, reflects a net initial yield of 5%.
It is let to Walkers for a further 10 years and is used for the storage of raw materials prior to being delivered to the adjacent manufacturing plant.
Walkers was founded in Leicester in 1948 and is now a wholly owned subsidiary of PepsiCo. The Walkers complex on Bursom Industrial Estate is the largest crisp production plant in the world, producing more than 11m bags of crisps per day.
Stewart Little, co-founder and CEO of Oxenwood, said: “Despite the competitive nature of the sector, it is reassuring that we continue to acquire assets off-market in locations where we see continued growth.
“The length and strength of the income stream will sit well within our joint venture with Catalina as we seek assets with a strong income component. The building is integral to the wider Walkers’ operation, which may give rise to further asset management initiatives in the future.”
Lambert Smith Hampton advised Oxenwood; the vendor was advised by TT&G Partners.
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