AEW completes acquisition of Cheshire industrial estate

Real estate investment trust company AEW UK – the owner of 31 property assets in the UK – has acquired two more for £2.6m, including one in Runcorn, Cheshire.

It has completed the acquisition entire Sarus Court industrial estate, where it already owned five of six units, for £600,000, at an initial yield of £600,000.

Sarus Court forms part of the wider Manor Park industrial estate.

The estate provides well specified, modern industrial units of between 11,000 and 17,00 sq ft, which are let to a number of light-industrial occupiers over four years.

The newly acquired unit, which is let to Dimension Data until 2020, offers significant reversionary potential, with a passing rent of £4.50 per sq ft which is more than 15% lower than a recent Sarus Court letting secured by AEW UK at £5.25 per sq ft.
AEW has also bought Pipps Hill Industrial Estate in Basildon, five miles from the M25, for £2m.