Chancerygate and JR Capital industrial fund buys first sites
JR Capital and Chancerygate’s joint £100m industrial fund has deployed its first £10.5m with the acquisition of two sites.
Combined, the sites in Brunswick and Wallaston comprise 200,000 sq ft of multi-let industrial buildings across 13-acres. They were bought within two months of each other after the fund’s first close in May. A second fundraising round is expected before the end of the year.
The former, Brunswick Park, covers 71,700 sq ft and was bought for £3.3m from the Litton Property Group. The site is 90% let with occupiers including pharma giant Alliance Healthcare.
The second site, Wollaston Industrial Park, is a 14-unit industrial estate covering 127,550 sq ft, located just outside of Wellingborough.The park is fully let to tenants including Dr Marten’s holding group Airwave International, Aston Martin restorers Charlie Briggs and the Salvation Army Trading Company.
Eskmuir Securities sold the site to the JR Capital and Chancerygate fund for £7.2m.
Chancerygate’s head of asset management Rory Finnan said: “These first two acquisitions signal a strong start to the investment of our joint fund with JR Capital. The assets both offer good real estate fundamentals, strong income and the ability to add value in the medium term.
“We are already on site refurbishing vacant space at Brunswick Park as we look to optimise the real estate to provide best value for occupiers and return for funders. Brunswick and Wollaston will both benefit from this approach as we look to invest and improve facilities.’’
Michael Ferris, head of investment at JR Capital, added: “Brunswick Park and Wollaston Industrial Park are ideally suited to the fund as they offer secure and well diversified income from a broad range of occupiers, coupled with potential for us to add value. We are delighted to have closed two deal in quick succession over the summer and we expect to deploy a further £50m over the next three to six months.
“Chancerygate’s in-house integrated team, combined with JR Capital’s investment expertise and access to capital, provides the fund with a competitive advantage. While other investors are sitting on their hands awaiting news on Brexit, we see it as buying opportunity, coupled with the weak sterling and will remain active.
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