Network North Portfolio acquired for £41.9m

Delph Court, St Helens.

Network North Portfolio acquired for £41.9m

Asset manager Columbia Threadneedle has acquired the Network North portfolio from Network Space for £41.9m.

The 630,000 sq ft Network North is a Grade A multi-let industrial portfolio in the north of England with 60 tenants in 17 locations in Lancashire and Yorkshire.

The portfolio, which is full of Grade A property is 92% let and has an annual rent of £2.85m, which reflects a net initial yield of 6.37%.

Most of the assets have been built by the vendor since 2000 and managed in-house by its specialist teams.

The Lancashire locations in the portfolio include St Helens, Wigan, Skelmersdale, Widnes and Ashton-under-Lyme.

Columbia Threadneedle was represented in the acquisition by Garry Howes of Gent Visick and Simon Wood of B8 Real Estate, whilst the Leeds office of global property consultancy Knight Frank represented Network Space.

Graham Foxton, partner in Capital Markets at Knight Frank in Leeds, who handled the disposal commented: “The deal is a significant one for the region and shows the strength of the industrial sector in this part of the country.

“The portfolio is a rare commodity given that it comprises 100% industrial buildings of excellent quality. Multi-let industrial is an attractive sector in the country and this proves that the North can - and does - compete with the South”.

Richard Ainscough, managing director at Network Space added: “We took the decision to sell these assets so that we can accelerate the speculative development of our new industrial property.

“We will also continue to invest in our asset management platform so that we can continue to get the best out of our retained investments and those of our investor partners. 

“We have an excellent team at Network Space, specialists with a true wealth of experience in the development, investment and management of industrial property.”

Columbia Threadneedle declined to comment on the deal.