Tungsten signs £250m industrial jv with BC Partners

Tungsten Properties has formed a £250m industrial joint venture funding agreement with BC Partners, which will target single and multi-let development opportunities across the UK. Site acquisitions will range from last-mile to big box logistics warehouses with GDV above £25m. Tungsten will act as asset and development manager. The jv said it has already identified a strong pipeline to seed the partnership. In the meantime, Tungsten will continue to acquire development opportunities below £25m through its existing revolving credit facility. Jeff Penman, managing director at Tungsten, said: “This is a significant step in Tungsten’s expansion strategy to continue to deliver industrial and warehouse space to create growth, jobs and investor returns.  “This transformational jv agreement with BC Partners will provide reliable capital to continue delivering strategically located, sustainable buildings across the UK. “While there is volatility in the capital markets, both Tungsten and BC Partners believe the industrial market’s long-term fundamentals remain strong. With a fighting fund behind us, we look forward to securing further opportunities.” Laurian Douin, partner at BC Partners, said: “The UK industrial and warehouse sector has strong secular fundamentals. Given Tungsten’s strong track record and like-minded approach to development, we are thrilled to partner with them to jointly invest in this asset class.  “The joint venture intends to deliver well-located, exceptional schemes to meet occupier demand, with a particular focus on schemes’ environmental credentials in-line with BC Partners Real Estate’s commitment to ESG.”  Jeremy Toone of Cap Real Estate advised Tungsten. Fineman Ross acted for BC Partners.   To send feedback, e-mail pui-guan.man@eg.co.uk or tweet @PuiGuanM or @EGPropertyNews Image: Tungsten