Hansteen , the urban multi-let industrial property investor, announces that the portfolio has continued to perform strongly in the first quarter of 2019 with the completion of 201 new lettings and lease renewals at an average contracted rent of £4.56 per sq ft. This compares with an average contracted rent on the total portfolio at 31 December 2018 of £4.03 per let sq ft.
There have been eight profitable sales completed in 2019 at an average yield of 3.4% for a combined consideration of £19.5 million. Included in these sales were three properties purchased for £7.6 million as part of the Cygnet portfolio in August 2018 which have been sold for £10.6 million. In total these eight sales have generated profits of £4.8 million over gross acquisition cost and £1.6 million over 31 December 2018 valuation.
Four of the eight sales account for £17.2 million of the consideration and these properties are located at:
– Chequers Lane, Derby, DE21 6AW – 40,805 sq ft
– Bayton Road Industrial Estate, Bayton Road / Colliery Lane, Bedworth, CV7 9NW – 71,500 sq ft
– Edge Lane Business Park, Edge Lane, Manchester, M11 1DG – 171,163 sq ft
– Land at Lankro Way, Eccles, M30 0L- 14 acres
Morgan Jones and Ian Watson, Joint Chief Executives of Hansteen, commented: “We remain cautious about the current macroeconomic and political risks, but we have not seen any negative impact on our occupational or investment markets so far in 2019. The pace of activity by our regional asset management team has continued with over 200 lease events at headline rents that are in excess of the portfolio average and we have been able to continue selling individual assets at good prices”.