Deal signed for £4.1m Royal Mail site

A Leeds estate let to Royal Mail has been sold in a £4.1m deal to Telereal Trillium.

Property investors and developers Telereal Trillium have bought the Thwaites Farm Industrial Estate in Leeds with help from Savills.

The scheme comprises seven industrial units totalling 76,215 sq ft, which are fully let to Royal Mail Group at a passing rent of £294,925.

It has been bought from CBRE Global Investors and the deal reflects a net initial yield of 6.75%.

The site is used for last mile delivery by Parcelforce, which is part of Royal Mail, and the servicing of vans. Located four miles from Leeds city centre, close to Junction 44 of the M1 and Junction 7 of the M61, the estate sits within an established industrial area.

Mark Wilson, associate director in the investment team at Savills Leeds, commented: “Thwaites Farm Industrial Estate combines an attractive yield with the excellent covenant of Royal Mail, which has been located there since the 1970s. We are pleased to have secured this acquisition on behalf of Telereal Trillium.”

CBRE Global Investors was represented by Knight Frank.