Office provider Brymau Estates has offloaded a multi-let portfolio of managed workspace developments totalling 230,000 sq ft near Chester to Sandyford Properties.
The £9m deal will see investor Sandyford acquire four industrial parks and two flexible workspace sites close to Saltney in Cheshire.
The properties include Brymau Two and Three, Four and Six, The Sidings, and Red Hill House. Together, the units are let to more than 90 tenants and generate a total net income of £915,000 per year, according to Brymau Estates. Each scheme has its own on-site management team that will be transferred to the buyer on completion of the sale.
The acquisition is one of Sandyford’s first in the North West – the Stoke-based company has until now been focussed on multi-let industrial assets in Staffordshire.
“Our home area of North Staffordshire is still critically important to us…however, this acquisition provides us with the opportunity to grow our customer base in a new location where there is strong demand from both national and local occupiers,” said Sandyford Properties’ managing director Paul Brindley.
“We see the existing Chester sites very much as a platform to acquire additional industrial assets to increase critical mass and market share in the local market.”
He added: “Brymau Estates has been in family ownership for more than 50 years and epitomises much of the long-term approach and the values which are consistent with our own business.
“Much like the existing Sandyford Properties’ sites, the portfolio largely consists of sub 10,000 sq ft units, many of which are let to local, owner-managed businesses with which we can pursue a partnership approach, providing them with the space to grow.”
Agency Legat Owen acted for Brymau Estates with Hillyer McKeown as its legal adviser, while Sandyford was advised by law firm Hill Dickinson and building surveyor Woodfellows.
Ben Lamont, surveyor at Legat Owen, said: “The purchase shows the continued demand for high-yielding assets with the ability to add value to the portfolio through strategic asset management.
“The schemes are established business destinations with an impressive list of clients, an excellent track record of lettings and a strong brand presence, and the buildings have been expertly managed to date.”