Industrial site snapped up for £1.4m

An industrial site in South Yorkshire has been acquired in a £1.4m deal.

Acting on behalf of Gabbro Precision, CBRE has completed the sale and leaseback of Napier Works in Rotherham.

The property is fully let to Gabbro Precision on a new three year sale and leaseback with a passing rent of £142,748 a year. The three-bay warehouse with engineering, workshop and ancillary office accommodation totals 71,374 sq.ft, on a site of 2.8 acres.

Gabbro supplies integrated metals and manufactured component solutions to customers across the globe in the oil and gas industries. The Gabbro Precision Group operates six brands within three operating divisions globally.

Robin Bullas, director of capital markets at CBRE’s Leeds office, said: “Napier Works, which is located in an established industrial area close to the main A630 ring road, is a solid investment opportunity. The property was acquired for £1.4m by a local purchaser. This reflects a net initial yield of 9.5%, assuming purchaser’s costs of 6.90%.”

Knight Frank advised the purchaser.