Occupier demand drives string of long-term lettings for Harworth
Property firm Harworth has sealed five lettings for commercial space across a trio of key sites, generating additional recurring income of more than £1m a year.
The listed brownfield land, property developer and investor said the deals see its wholly owned direct developments in its business space portfolio fully let.
Harworth has secured two new tenants for its second phase of “R-evolution” units at the Advanced Manufacturing Park in Rotherham which practically completed in April 2017, meaning this scheme is now fully let.
The 25,962 sq. ft Unit 8 building is let to Spendor Audio Systems on a 15-year lease, while the 15,063 sq. ft Unit 7A is let to British Steel on a 15-year lease.
The lettings were achieved at a new headline rent of £7.50 per sq ft at the park. The third phase of construction at “R-evolution” which is underway, comprising 55,750 sq. ft of additional commercial space, is due to practically complete in September 2018.
The company has also leased its final vacant unit at its Gateway 36 development in Barnsley. Used car supermarket Motor Depot has taken a 15-year lease at the 75,277 sq. ft Helix unit at a headline rent of £5.00 per sq ft.
Meanwhile, across the Pennines, Harworth has agreed two ten-year leases with Northern Building Plastics and Vaclensa for its C4 and C5 “R-evolution” units at Logistics North in Bolton, totalling 52,871 sq. ft.
Owen Michaelson, chief executive of Harworth, said: “Growing the group’s rental income through the letting of newly built commercial space demonstrates the management-led actions we are taking to deliver our strategic priority of improving the quality and size of our recurring income base.
“These lettings also provide further evidence of the underlying strength of the industrial property market across the North of England, as we continue to see demand for high quality space. We are therefore well positioned to capitalise on the structural drivers of occupier demand and limited supply which is underpinning rental growth in the region. We will look to build out further direct development on our sites in 2018 and beyond.”
