Portsmouth industrial estate sells for £19m
Merlin Park, off Airport Service Road, was completed in 2018.
It has been bought by Orchard Street Investment Management, a commercial property investment manager, with a net initial yield of 4.5 per cent.
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Hide AdThe purchase was made on behalf of a pension fund client, and it was bought from British Airways Pension Fund.
Merlin Park has seven units totalling 88,000sq ft. It is fully let to four tenants with a long weighted average unexpired lease term of 11.9 years to breaks and a passing rent of £10.40 per sq ft overall.
Harry Buxton, acquisitions manager at Orchard Street, said: ‘We consider this best-in-class asset to be an excellent addition to our client’s portfolio.
‘The property provides resilient income from a diverse tenant mix, a long unexpired term significantly in excess of the market average, and strong sustainability credentials.’
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Hide AdOrchard Street was advised by Lambert Smith Hampton, whilst British Airways Pension Fund was advised by DTRE.