Having acquired the 125,000 sq ft first phase of the development earlier this year, the investor has agreed to forward fund the 280,000 sq ft second phase, purchasing the site from developer Redsun.
Redsun Projects lodged plans for the 15-acre second phase of the Ellesmere Port scheme in February, proposing two distribution units measuring 200,000 sq ft and 80,000 sq ft.
Arrow Capital Partners has agreed to forward fund the project through Strategic Industrial Real Estate or Sire, a €3bn joint venture with Cerberus Capital Management. Redsun has been retained as development manager for the scheme.
The value of the deal was not disclosed.
Sire was behind the acquisition of a £180m portfolio from UK Warehouse Properties, a joint venture between American fund manager Ares and Midlands-based property developer Revelan.
The deal included two buildings totalling 180,000 sq ft at Grove Park in Leicester, 200,000 sq ft let to Rolls Royce at Harrier Park in Hucknall, and Aviator phase one.
The seven-acre phase one of Aviator completed early last year and is let to survival equipment firm Survitec on a 20-year lease.
Located next to Junction 6 of the M53, Redsun bought the 22-acre Hooton Park from Homes England in 2017 to deliver Aviator.
Robert Howe, head of real estate, Europe at Arrow, said: “This funding strengthens Sire’s position on the site, and we intend to invest more than £500m in UK urban logistics market over the next three years, targeting urban logistics assets with income, vacancy or refurbishment potential as well as more development opportunities, both on a forward funding and forward commitment basis”.
Nick Wightman of Redsun Projects, said: “We’re delighted to complete this deal with Arrow and we now look forward to getting on-site to deliver this final phase at Aviator.
“There is strong demand from occupiers for high-quality, well-located buildings, so we expect there to be good levels of interest in this development over the coming months.”
B8 Real Estate acted for Arrow and M1 Agency acted for Redsun. The consultancies are the joint letting agents for the scheme.
Simon Wood, director of B8 Real Estate, said: “This transaction not only reinforces confidence in the North West industrial market but also in Ellesmere Port as a location which is witnessing excellent levels of occupational and investment activity.”
The project team for the second phase includes Fletcher Rae Architects, Quartz Project Services, Muir Associates and Crookes Walker Consulting.