The global investment manager has purchased the 162,000 sq ft Mere Grange industrial park in St Helens from commercial developer Network Space.
InfraRed Capital Partners bought the scheme, which is 90% let, on behalf of the InfraRed Urban Logistics Income Fund for £17.6m, reflecting a net initial yield of 5.50%.
Mere Grange, located off St Helens Linkway close to Junction 9 of the M62, covers 30 acres and is home to occupiers including Dresser Natural Gas Solutions, laundry firm Synergy LMS and electricals company Ormazabal.
A global e-commerce retailer, believed to be Wayfair.com, agreed a deal for 21,375 sq ft last month.
Of the five units that make up Mere Grange, one 18,000 sq ft building remains available to let.
InfraRed’s acquisition of Mere Grange follows the company’s initial £93m investment to buy a 1m sq ft portfolio of 25 industrial sites across the country, including two in the North West, and two development sites that will deliver an additional 200,000 sq ft, from Network Space in 2018.
That acquisition was made on behalf of the European InfraRed Active Real Estate Fund IV.
Dean Harrison, investment director of InfraRed Capital Partners, said: “The proximity of [Mere Grange] to Liverpool and Manchester and direct motorway access to the M62 positions it well for last-mile delivery and urban servicing, and the recent letting to a global e-commerce retailer is evidence of the asset’s attractiveness for e-commerce occupiers.
Harrison added that “the accelerated shift to e-commerce during recent months has increased demand for modern, high-quality urban logistics assets. We are looking to expand our urban logistic holdings in the UK and Western Europe throughout 2020 and beyond with substantial capital available for deployment.”
In 2018, Network Space, alongside Homes England, St Helens Council and the Liverpool City Region Combined Authority, completed the £7m first phase of Mere Grange before the firm was bought by property investor Richard Ainscough’s Datum Edge.
The first phase comprised the development of 90,500 sq ft across four units ranging between 18,500 sq ft and 26,350 sq ft. The second phase, a single 51,800 sq ft unit, completed last April and is fully let to Synergy LMS on a 25-year lease.
Meanwhile, housebuilder Anwyl Homes is delivering 82 homes on the residential portion of the site, having acquired it from Network Space last year.
Stephen Barnes, managing director of Network Space Developments, said: “Our partnership with Homes England and St Helens MBC at Mere Grange has proven a great success. The quality of the design and specification, the environment we have created and this location has enabled us to bring forward a scheme delivering new jobs and investment, as well as providing new homes in the borough.”
B8 Real Estate acted for Network Space on the sale. InfraRed was represented by DTRE.