The Leading News & Information Service For The Facilities, Workplace & Built Environment Community

NFU Mutual Sells Eight Prime UK Logistics Assets to Barings

NFU Mutual Sells Eight Prime UK Logistics Assets to Barings
01 August 2022

Barings, a subsidiary of MassMutual, is to acquire a portfolio of logistics properties from NFU Mutual in a deal worth £234 million.

The eight assets are all based in the UK, comprising a total area of 1,477,431 sq ft.

By floor area, 53 per cent of the portfolio is located in the Midlands, 22 per cent in the South West, 16 per cent in the South East, and 9 per cent in the North West. 

The assets include e-commerce, manufacturing and freight brands including HelloFresh at Central M40 Banbury, two units let to GKN at Avonmouth, Rolls-Royce at Sherwood Park Nottingham, Eddie Stobart at DIRFT Daventry, Eurocell at South Normanton, Countryside Properties at Warrington and the Deichmann distribution unit at Centrix Park Corby.

Recent data shows that the commercial real estate market’s continued post-pandemic growth is predominantly due to growth in the logistics sector. Data centre operators, online grocers, e-commerce and parcel delivery companies have all played their part in this increase.

It is widely forecasted that this growth will continue. A new report by Buck Consultants International predicts that the increase in logistics real estate take-up volumes will grow by another three per cent in 2022, on top of the ten per cent growth in 2021.

Darren Hutchinson, Managing Director and Head of UK Real Estate Transactions at Barings, said: “As one of our preferred investment sectors, alongside offices and residential, we are always keen to explore opportunities in the logistics space. We believe the pricing shift in the sector, in particular for CPI-linked assets with cap and collars, represents a short-term relative value opportunity, particularly given the strength of the sector’s long-term fundamentals.

"Having grown our logistics portfolio over the past few years, this acquisition of prime assets in excellent locations, with an impressive and diversified tenant mix, significantly enhances our reach in the market.”

Barings was represented by Acre and CMS. NFU Mutual was advised by Burbage Realty, Knight Frank and Gowlings.

Picture: a photograph of a warehouse with industrial shelving filled with cardboard boxes. Image Credit: Pexels

Article written by Ella Tansley | Published 01 August 2022


Related Articles

Industrial and Logistics Property in High Demand

The number of logistics and industrial property leasing deals was 70 per cent higher than usual in Q1 of this year. New data from Cushman & Wakefield suggests that...

 Read Full Article
Amazon Looks to Offload 10m Square Feet of Warehouse Space, Reports Suggest

Amazon is looking to sublet or terminate leases of excess warehouse space due to a drop in online shopping, says Bloomberg. According to the news report by Bloomberg,...

 Read Full Article
BAM FM Wins Hard FM Contract With

BAM FM has been awarded a three-year hard facilities management contract with online home and lifestyle retailer The contract will encompass both mechanical...

 Read Full Article
British Land Sells Stake in Meadowhall Shopping Centre

British Land has opted to sell its 50 per cent share in Meadowhall Shopping Centre to its partner Norges Bank Investment Management for £360 million. British...

 Read Full Article
High Performing Buildings – May's Roundup

This month's high performing building roundup includes a new Nike logistics campus in Corby, specialised laboratory space in Manchester, and the Best Refurbished...

 Read Full Article
CIBSE, Introba and Amazon Unveil New Embodied Carbon Guidance for Warehouse Equipment 

New guidance to help the logistics industry measure the embodied carbon of warehouse equipment is now available. In conjunction with building services consultancy...

 Read Full Article
British Land Secures Planning for Southwark Logistics Hub

British Land has received a resolution to grant planning permission for a logistics hub in Southwark, the latest scheme in their London urban logistics...

 Read Full Article
Completion of UK’s Largest Warehouse Refurbishment Project

The UK's largest strip-out, demolition, and refit of a warehouse project is now complete. The 661,000 sq. ft (60,000 m2) space at the former GAP Warehouse in Rugby...

 Read Full Article
British Land Plans New Logistics Hub in Enfield

British Land has received resolution to grant planning permission for a 455,000 sq ft multi-level logistics hub near Junction 25 of the M25. Intended to cater for the...

 Read Full Article
Prologis Finalises $3.1bn Acquisition of Blackstone Logistics Portfolio

A definitive agreement for Prologis to acquire almost 14 million square feet of industrial property from Blackstone has been confirmed. Blackstone recapitalised...

 Read Full Article