- LondonMetric Property said it had agreed to acquire a warehouse for £24m, reflecting a yield on cost of 5.2%.

Construction on the 232,000 square foot warehouse would commence imminently and expected to be completed in mid-2020. LondonMetric would forward fund the developer, db symmetry, benefiting from a 5.2% funding coupon.

The warehouse had been pre-let to Croda, a FTSE 100 speciality chemical company, on a 20 year lease at a rent of £1.3m a year and was subject to annually payable retail price index (RPI) linked rental uplifts of between 1% and 3% a year.

Located adjacent to Junction 36 of the M62, Croda would use the warehouse as its global distribution hub and invest a significant amount in a state-of-the-art automated facility.

The 33 acre site would have a very low site density of 16% and there is planning consent for approximately 140,000 sq ft of additional development.

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