Bristol commercial property firm secures £25.2 million warehouse deal
The letting and onward sale of a 250,000 sq ft distribution warehouse in Portbury has been completed by the Bristol office of Colliers International.
Working jointly, Richard Coombs, director in the National Capital Markets team, and Tim Davies, director in Industrial and Logistics, secured the letting and onward sale of Asda’s former cold store at Portbury Way, Bristol.
Tim Davies negotiated a letting to Brakes Bros Limited on a 30 year lease subject to five-yearly indexed rent reviews. Richard Coombs then sold the property to Tritax Big Box REIT Plc, the UK’s first listed entity to give pure exposure to the ‘Big Box’ asset class, for a figure in the region of £25.2 million. The deal represented a net initial yield of 5.12 per cent.
The warehouse, which was built in the early 1990s, is located on a 17 acre site adjacent to Junction 19 of the M5 Motorway. It comprises a purpose-built cold store facility, and was last occupied by Asda in September 2013.
Richard Coombs said: “This deal is indicative of the current demand for long-let industrial investments from a number of institutions and major property company investors.
“It is also an excellent example of collaborative working by teams at Colliers International over a long period.”