9th March 2020
Valor expands UK portfolio with three acquisitions totalling £50m

Valor Real Estate Partners (“Valor”), on behalf of its clients, is pleased to announce the acquisition of three prime logistics assets in Greater London through separate transactions for a total consideration of c.£50m. The sites purchased comprise:

  • c.92,600 SF building in Thurrock, East London;
  • c.37,600 SF property in Park Royal, West London; and
  • c.99,700 SF Class A Multi-let industrial park located in Ruislip, West London.

The Thurrock submarket is one of the key supply chain markets for the North East and South East of London, but the asset importantly also benefits from its strong connectivity to Central and Greater London, via the A13 and M25 motorway respectively. Valor will lease the building back to the previous owner for a three year period, after which it will create a cross-dock facility as well as enacting a comprehensive renovation plan to substantially enhance the functionality of the asset.

The second acquisition in Park Royal is located off the A40, boasting unparalleled access into Central London. The Park Royal submarket benefits from excellent connectivity to Greater London and is widely considered London’s most important last-mile distribution submarket. It is often referred to as the Capital’s “breadbasket”.

Similarly, the Ruislip acquisition is in close proximity to the A40, with superb access to Central London. The asset is currently substantially under-rented due to 8 outstanding rent reviews. Valor intends to re-adjust the asset to market through effective asset management.

Gustav Detter, Principal at Valor commented:

“We are delighted to have secured three prime assets across multiple attractive sub-markets in London. These assets are fantastically placed to benefit from the exponential growth of last-mile assets in one of the most developed cities in the world.

“Not only are these three acquisitions emblematic of Valor’s strategy to acquire quality last-mile logistics assets in supply constrained submarkets, but they also demonstrate our commitment to London as a highly attractive market for urban infill logistics.”

Valor was advised by Acre Capital for the Thurrock and Ruislip transaction, and Levy for the Park Royal transaction. Financing was provided by PGIM for all three deals.