Engineering firm’s expansion achieved through property deal

Magnapower, a magnetic processing specialist which produces metal separation equipment for the recycling sector, has been able to buy a bigger site on Harris Business Park in Bromsgrove due to careful work on a ‘complex property deal’ done for them by Thursfields solicitors.

Until recently Magnapower were renting a unit at Harris Business Park, but the new arrangement via the SSAS Pension Fund has enabled them to purchase a bigger facility on the same site in which to house a new assembly area, warehouse and offices.

SSAS bought the building as the company pension fund and then let it back to Magnapower on a leasehold basis, but with permission to develop the property. Magnapower has been able to sublet one of their new units to another business.

Tony Gibb of Thursfields, who acted for the SSAS pension fund in the transaction said: “This was a multi-faceted property transaction that has allowed Magnapower to expand its operations and achieve a rental income from the site, while at the same time proving a worthwhile investment for the company’s pension fund.”

Robert Jones, managing director of Magnapower added: “Buying the property in this way made sense financially for both the company and the pension fund, and has enabled us to develop a new assembly area, to use a larger area for storing products and be based in smart offices.”