Industrial unit at Stakehill sold for £8.6m

A 150,000sq ft industrial unit Stakehill Industrial Estate in Middleton, Greater Manchester has been sold for £8.6m, reflecting a net initial yield of 9.8%.

Vengrove, in partnership with Chenavari Investment Managers – the London-based $5.5bn alternaive asset manager – has completed the off-market purchase from Legal & General.

Adjacent to the M62 and currently let to Aldi on a lease expiring in March 2016, it represents a considerable refurbishment and asset management opportunity.

Jack Burgess, partner of Vengrove, said: “This acquisition provides our highly experienced asset management team with the opportunity to transform the properties within an 18 month window.

“The March 2016 lease expiry provides exposure to a short term asset management opportunity with calculated occupational risk in a market that is experiencing an acute supply demand imbalance. These are key themes of our investment strategy.”

The acquisition pushes the opportunistic investment firm’s total transactions since 2013 past the £600 million threshold. Operating from a rapidly-expanding platform, 30 transactions in as many months reflect the firm’s ability to move swiftly and discreetly.

Vengrove was represented by DTRE & WHR on the purchase, while Knight Frank advised Legal & General.