Investor acquires Birmingham Business Park building for £300m regional office fund

Office investor Hillview Real Estate has acquired two out-of-town office investments in Birmingham and Watford for £18.25m for its new £300m fund.

Hillview Real Estate has bought the 1320 building at Birmingham Business Park, and Belfry Business Park in Watford.

1320 Birmingham Business Park comprises a 26,374 sq ft building fully let to two tenants, BCA Logistics and Vector GB. The weighted average unexpired lease term is 5.8 years.

The company said 1320 Birmingham Business Park fits well with the first acquisition by Hillview Partners Property Fund III, which was also on Birmingham Business Park. Kings Court (2620 – 2650) comprises a development of three adjacent buildings providing office accommodation and was purchased from Catalyst Capital for £9.7m.

Birmingham Business Park, located by the M42 in Solihull, is one of the Midlands’ most established commercial hubs, comprising 1.84m sq ft over 148 acres. The park is due to benefit from its proximity to the planned HS2 interchange station at the nearby Birmingham International Airport.

Belfry Business Park comprises the freehold interest in five buildings on Colonial Way, a major industrial and office location on the edge of Watford.

Hillview Real Estate was advised by ADS Real Estate, Addleshaw Goddard, Ogiers and Powell Williams.

Nadav Livni, managing director of Hillview Group and fund manager of Hillview Real Estate, said: “These two investments are excellent acquisitions for our new fund. Both provide stable income and opportunities for our team to significantly add value from enhancing amenities, lease events, refurbishment of units and regearing leases. They are perfect office properties in the post-Covid environment, offering tenants in high-growth sectors convenient locations, occupational flexibility, local amenities and the ability to drive or cycle to work.”

Hillview announced the launch of Hillview Partners Property Fund III in July 2020.