Fund acquires John Lewis Enfield DC
Hines, the international real estate firm, has acquired the 85,000 sq ft urban logistics centre in Enfield, Greater London, on behalf of the Hines Pan-European Core Fund.
The acquisition comes as the Hines Pan-European Core Fund has secured a further €141 million of new commitments, and confirms the recently announced expansion of the Fund’s investment scope to include urban logistics and residential.
The purpose-built eCommerce distribution centre was completed in 2010 and is fully let to retailer John Lewis Partnership on an 11.5-year lease. Located within the Innova Business Park, the site is one and a half miles from Junction 25 of London’s M25 orbital motorway. The site was acquired in an off-market transaction for an undisclosed price.
Greg Cooper, Hines UK director of industrial and logistics, said: “John Lewis Plc is a high-quality tenant and demand for well-specified logistics facilities within easy reach of central London continues to grow rapidly against an increasingly supply restricted backdrop. We are increasingly focused on opportunities with similar characteristics in this dynamic and fast-moving sector.”
Last month Sports Direct sold its Shirebrook HQ in a £120m deal with a Malaysian pension fund. Sports Direct will take a 15-year lease and continue to operate from the site.
Kevin Mofid, director of research, Savills, told the audience at the recent Warehouse Technology Group event in Manchester: “Logsitics buildings are being targeted for acquisition by pensions funds at the moment. It is an asset class that it seen as a more attractive option tp many than office buildings or shopping centres. Operators need to ask themselves if the time is right for sale and lease back.”
