Helical Bar acquires £29m industrial portfolio

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Sharecast News | 14 Aug, 2014

Property investment group Helical Bar has acquired a portfolio of 11 warehouses for £29.7m as part of its plan to expand its product portfolio.

Property investment group Helical Bar has acquired a portfolio of 11 warehouses for £29.7m as part of its plan to expand its product portfolio.

Helical has purchased 11 industrial estates totalling 460,000 sq ft from a separate account client of Rockspring Property Investment Managers, reflecting a net initial yield of 8%, discounting one vacant property in rugby.

The total annual rental income of the properties is £2.4m and key tenants include Booker and Parcelpoint. The average weighted unexpired lease term is around 3.8 years to expiry and three years to break.

Investment director Duncan Walker said: "This portfolio combines good cashflow with a number of asset management opportunities to re-gear and re-let the assets. Demand for high-quality, well-let logistics assets in the UK remains robust, driven by strong e-commerce and manufacturing trends, together with the lack of new supply.

The portfolio compromises seven multi-let industrial estates located in Gloucester, Northampton, Milton Keynes, Bedford, Slough and Barking and four single let distribution warehouses properties in Bolton, Telford, Cardiff and Rugby.

As of 10:45 the share price had risen 0.29% to 343.25p.

WS

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