Barwood Capital and Caisson Investment Management (“BCCIM”) have purchased the M54 Space Centre in Telford on behalf of the Urban Industrial Income LP (‘UII’).
The property is UII’s fourth acquisition and takes its AUM to c.£35m across a total of circa half a million sq ft of multi-let industrial in the UK.
Located close to Junctions 4 and 5 of the M54, the site is well situated for easy access to the M6, M5 and wider motorway network. The refurbished property provides 241 units including: industrial units, a serviced office, a storage business centre, and a self-contained unit and yard.
BCCIM’s strategy is to enhance the estate through active asset management, fostering good relationships with the tenants new and old and targeted capital expenditure to capture the considerable rental growth seen in the local and wider market.
Still an active fund, UII was launched in May 2021 to invest in multi-let and urban industrial assets in regional locations across the UK. Previous purchases include: Graylaw Trading Estate, Aintree; Waleswood Industrial Estate, Sheffield; and Rushock Trading Estate, Droitwich.
UII has financed the existing portfolio with competitive senior debt funding from NatWest, with whom Barwood and Caisson have a longstanding relationship. The facility includes an accordion for future acquisitions.
Danielle Sheppard, Senior Investment Director at Barwood, said: “This latest acquisition is another example of our ability to acquire management intensive assets in the regions with good growth potential. Telford is a great addition to the current portfolio and underpins our ability to amalgamate a sizable portfolio of strong regional urban industrial assets, offering our investors strong income returns and good capital growth potential. We are continuing to look for further opportunities in urban industrial and multi let industrial assets in the UK regions.”
James Ward, Asset Management Partner at Caisson, added:
“As we continue to see demand for industrial space outstripping supply across the regions, sites like these are ideal for UII, as larger pools of capital find it difficult to manage them without specialist industrial sector expertise.”
Caisson Investment Management is an independent investment management business, specialising in the industrial sector. It manages assets on behalf of its investors, which include local authority pension funds, family offices, corporates and other institutional investors.
Since its formation in 2009, Caisson has, by value, undertaken over £1.2bn of transactions within the multi-let industrial sector and delivered an ungeared return to its investors of 18.0% since inception to 30th September 2021.
For more information visit the company’s website at www.caisson-im.com
About Barwood Capital
Barwood Capital is an owner managed business founded in 2009, specialising in UK regional investment and development.
Our purpose is to innovate and unlock value, generating strong and sustainable growth.
We achieve this by investing responsibly in UK regional real estate and combining nimble capital with the talents of our exceptional people and experienced partners.
We take a partnership approach and are committed to providing our investors and partners with a personalised service that leaves them feeling valued and rewarded.
To date, Barwood Capital has invested over £425 million into UK regional real estate, creating over £950m in value and has delivered an average investor return of 14%, with a repeat investor rate of over 80%*.
* repeated investment of pounds sterling by investors from other Barwood Capital Funds.
For further information visit www.barwoodcapital.co.uk
Contact for enquiries
Caisson Investment Management
+44 207 280 9600