Aviva Investors has acquired a major logistics hub near Birmingham for £139 million.
The 783,000 sq ft distribution centre in Hams Hall is let to Sainsbury’s on a 25-year lease with five-yearly rental reviews.
The site, which spans 50 acres, has three structures – a main building which provides ambient and chilled storage facilities, a vehicle maintenance unit and a resource recovery unit for the return of waste.
Nearly 200 supermarkets and convenience stores across the Midlands are supplied from the park.
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Kris McPhail, director of real estate long income at Aviva Investors, said: “We are pleased to add this distribution centre to our portfolio.
“While long-income assets have performed well over the past year in challenging market conditions, causing some crowding in for smaller assets, we believe larger properties are better-positioned to deliver positive outcomes.
“With its strong location, this property is well-placed for national distribution while also being well-served by major international ports.
“Coupled with a high-quality and creditworthy tenant, it continues our strategy of seeking prime assets that we believe offer best relative value and can provide our investors with attractive levels of long-term, inflation-linked returns.”
Aviva Investors was advised by Cushman and Wakefield.