LM6 advised investor Oceanic Estate’s to purchase Baldwin Filters former Regional Distribution Centre, extending to 152,871 sqft. The unit was bought with vacant possession on a speculative basis. The investment strategy for The Cube was underpinned by strong occupier demand, driven by e-commerce, a structural change in our shopping habits fuelling demand for large scale logistics units and demand for warehousing as a direct result of Brexit planning.
In line with our research and initial acquisition advise we were able to attract occupier interest prior to purchase. We were able to create a competitive dialogue, negotiating with 2 parties to ultimately secure an effective pre-let and obtain a premium rent (£0.50 above quoting rent) in what was one of the largest big box lettings of the year. The letting followed 2 weeks after the purchase of the site in November.
The site was subsequently sold as an investment to Columbia Threadneedle, realising a substantial return for our client within a matter of weeks.
The transaction demonstrates the advantages of our research led approach, our ability to adapt to market dynamics in securing occupier interest and the strength and depth of our investor and occupier relationships.