Tungsten sells Warrington shed for £32m
Leftfield has acquired the 246,000 sq ft industrial unit, which is let to Farmfoods on a 25-year lease.
Leftfield paid Tungsten Properties £32m for Super W, reflecting a net in initial yield of 4.96%.
“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,” said Jeff Penman, managing director at Tungsten.
“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.”
The development is located on Appleton Thorn Trading Estate four miles from Warrington at the intersection of the M6 and M56.
Tungsten purchased the 11-acre site in 2020 from Travis Perkins for £7.5m.
The developer won planning permission the following year and appointed Winvic to build the unit.
Farmfoods signed up to occupy the space last year. The frozen food retailer pays £1.7m a year in rent.
Nico Fourie, chief executive at 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.”
Atlas Real Estate and Forsters acted on behalf of Tungsten, and Acre Capital Real Estate and Addleshaw Goddard acted on behalf of Leftfield.
