Leicestershire distribution hub sold in £35.4m deal

A major logistics facility in the East Midlands has been sold as part of a wider £90m deal that includes five deals.

Urban Logistics REIT has swooped for a 250,000 sq ft unit on Beveridge Lane in Bardon for £35.4m. The unit is let to DHL Supply Chain on a lease expiring in 2027.

Richard Moffitt, chief executive, said: “During recent market volatility we have been deliberately patient in our deployment, and that patience has been rewarded by our ability to acquire these properties in prime locations on advantageous terms.

“Our occupational market, with its focus on supply chains for essential goods, remains strong with continued upward pressure on rents. We firmly believe that, at any stage in the property cycle, if we improve lease lengths we will see yield compression.

“We therefore see substantial potential valuation increases in these acquisitions, driven by our asset management plans.”