Tritax closes first deal for £500m logistics mandate

Tritax Management has completed its first deal for a £500m portfolio targeting logistics assets, mainly in Greater London and the South-East. The investor has been appointed to the portfolio on behalf of an undisclosed global investor. The mandate seeks to capitalise on the significant pricing realignment the UK logistics supply chain has seen since Q2 2022. Strong ESG credentials are integral to the strategy, targeting Very Good or Excellent BREEAM ratings and an EPC label of B or above. Abrdn will co-invest into the new venture alongside third-party institutional capital. In the portfolio’s debut acquisition, Tritax has bought Union Park in Leighton Buzzard, a 165,000 sq ft multi-let urban logistics estate built in 2021. The estate has a reversionary income profile and is around 90% let at completion. The estate has ‘A’-rated EPCs and a Very Good BREEAM rating. Tim Legge, partner and fund manager at Tritax Management, said: “The award of this new investment mandate is a strong endorsement of our track record in UK logistics and supply chain real assets. It also reflects the increasing opportunities for Tritax and Abrdn to collaborate.” Legge added that the portfolio will “capitalise on the supportive structural drivers and recent repricing in the supply chain sector”. Neil Slater, global head of real assets at Abrdn, said: “Abrdn’s investment in Tritax was all about creating opportunities for clients. This is it in action.” Kimmre advised on the Union Park acquisition. To send feedback, e-mail pui-guan.man@eg.co.uk or tweet @PuiGuanM or @EGPropertyNews