AVER PROPERTY ACQUIRES PRIME LOGISTICS FACILITY FOR £39.75 MILLION
Ergo Real Estate has acquired a prime logistics facility at Magna Park, Lutterworth, for £39.75 million on behalf of Aver Property LP, its joint venture with NFU Mutual. The price reflects a net initial yield of 6.48% and a capital value of £85.62/sq ft.
The cross-docked facility, which is located on the western side of Magna Park, one of the UK’s premier logistics destinations, comprises 464,824 sq ft and an additional six acres of expansion land. It is let jointly to Renault UK and Nissan until June 2028 at a rent of £5.75/sq ft with a tenant break option in June 2023.
The acquisition is the seventh by Aver and increases its committed capital to around £200 million.
Martin Jepson, co-founder of Ergo Real Estate, which is a value-add property company formed by Martin Jepson and Christopher Cope in January 2019, said: “This facility is a great addition to our portfolio, giving us exposure to the logistics sector and, therefore, good balance”.
Aver Property was advised by Colliers, while the vendor was advised by Altus Group.