Tungsten Properties has sold Super W, a 246,136 sq ft (22,866 sq m) newly built prime distribution warehouse unit in Warrington, Cheshire to Leftfield for £32.1 million reflecting a net initial yield of 4.96%.
In August 2022, Super W was let to Farmfoods Limited on a 25-year lease at a rental of £1.7 million per annum for their distribution warehouse.
Super W is situated in an established distribution warehouse location at the intersection of the M6 and M56 motorways, just four miles south of Warrington town centre. Manchester Airport is within a 14-minute drive and Liverpool airport within a 26-minute drive time.
Tungsten Properties purchased the 11-acre site in 2020 and planning permission was achieved in early 2021. Winvic constructed the high specification unit to include integrated office accommodation, parking, gatehouse and warehouse operations office, landscaping and associated works. The building is rated BREEAM Very Good and achieved Net Zero Carbon Accreditation in construction.
Jeff Penman, managing director, Tungsten Properties said: “Despite the recent market correction, the market for prime, carbon efficient warehouses with strong covenants in the UK remain strong and is reflected by Leftfield’s acquisition of Super W. Even with recent macro-economic events, the fundamentals the UK logistics remain strong. We are delighted to exceed our business plan for this project and wish Leftfield continued success with their portfolio.”
Nico Fourie, chief executive officer, Leftfield Advisors said: “Leftfield remains a conviction buyer within this sector as digital adoption continues to drive online spend. This, by extension, increases business and consumer reliance on well-located, quality warehousing with excellent ESG credentials such as Super W.”
Andrew Franck-Steier, director, Atlas Real Estate added: “We were delighted to act for Tungsten Properties on this best in class sale. Leftfield’s performance was exemplary, and it was great to work with Acre Capital on the transaction.”
Atlas Real Estate and Forsters acted on behalf of Tungsten Properties; Acre Capital Real Estate and Addleshaw Goddard acted on behalf of Leftfield.
For further information, please contact:
About Tungsten Properties
Founded in 2005, Tungsten Properties is a privately-owned company, based in Enderby, Leicester, UK with a 10-strong team. Since incorporation, Tungsten Properties has grown from a developer of small industrial units in the East Midlands, to a national developer with a secured industrial development pipeline of more than 4.27 million sq ft, spanning from West Yorkshire to Mid Sussex.
Tungsten Properties has developed more than 190 completed units, totalling over 2.55 million sq ft, with a gross development value of £335 million.
Tungsten Properties’ other projects under construction include Super B, a 230,000 sq ft speculative warehouse in Bradford, and Penta Park, Southampton, a 93,000 sq ft four-unit industrial scheme.
Leftfield was founded in 2008 by Nico Fourie and has been active in the UK commercial property sector ever since. Leftfield has specialised in logistics and distribution centres as well as retail, delivering returns that have exceeded projections on all assets acquired during that time.
Visit Leftfield’s website: https://leftfieldcapital.com/