Buccleuch Property acquires £3.475m industrial building in Peterlee
Cushman & Wakefield has advised on the sale of an industrial warehouse on South West Industrial Estate in Peterlee to Buccleuch Property at a price of £3.475m.
Reflecting a net initial yield of 7.93 per cent, the 103,000 sq ft property encompasses a purpose-built modern manufacturing and warehouse facility.
An extensive unit, the building has a large warehousing space, two linked bays, an ancillary canteen and separate office space spanning across two floors.
It also includes an additional secure service yard and generous car parking area.
Gagan Jagpal, of Cushman & Wakefield, said: “We are delighted to have achieved this result for our client.
“This deal represents the continued success of the industrial investment market where a shortage of opportunities for occupiers is fuelling rental growth with property investors recognising the value that exists within the North East market.”
Located on Fiennes Road, the building is currently let to a pharmaceutical company. Occupying a prominent position on the industrial estate, it benefits from good access to the A19, alongside excellent public transport links.
Buccleuch Property was advised by GVA on the purchase whilst Cushman & Wakefield acted on behalf of the vendors, the Enterprise Zone Trusts.
Alan Howie of Magarch, the asset manager on behalf of the trusts, added: “Having taken over as Trust Manager 18 months ago, we are delighted to have effected this turnaround for our clients.”