Central London warehouse acquired by property investment firm in £133m deal

A property investment company has today announced that it has acquired a central London warehouse in a £133m deal.

SEGRO, which has headquarters in London, has completed the acquisition of Electra Park, a 13 acre urban warehouse estate in Canning Town.

The company purchased the property, which is close to Canary Wharf and provides 21,200 sq ft of lettable space, from Schroders.

The park has 10 units, with nine already let and the final unit currently under offer, and the estate generates a passing rent of £3.4m.

Alan Holland, business unit director for SEGRO’s Greater London portfolio, commented: “This acquisition is an exciting opportunity for SEGRO to consolidate its leading London footprint and is a strong fit with its well established prime urban warehouse portfolio.

“Situated on the edge of Zone 2, at the gateway between Central London and the rest of our East London assets, it is in an area that is currently undergoing significant redevelopment and modernisation.

“This should further improve the already attractive supply/ demand dynamics and create the potential for strong rental growth, as we have seen happen in other inner London markets.

“Electra Park helps us to build further scale in an area where we have made great progress through the East Plus partnership in conjunction with the Greater London Authority.

“This enables us to improve choice and provide an excellent customer experience as well as represents an opportunity for us to create value by applying our asset management expertise and knowledge of the local market.”

SEGRO was advised by JLL and Schroders was advised by Gerald Eve.