Cromwell EREIT acquires third logistics asset in the UK for $31.8m
The property is 100% let to UK 3PL company, Kammac Limited.
Cromwell European REIT (CEREIT) acquired its third logistics asset in the United Kingdom for $31.8m (€22.1), which is 14.7% below the independent valuation.
The property the CEREIT referred to as the "Runcorn Asset" was acquired from a third-party vendor in the UK on 6 July.
According to CEREIT, the Runcorn Asset is 100% lent to Kammac Limited -- a UK-based third-party logistics (3PL) company --- on a one-year triple net lease.
"The tenancy includes an RPI-linked rent review at year five subject to a collar/cap of 1% and 3% (compounded annually), thus providing future positive rent uplift," CEREIT said in a bourse filing.
The Runcorn Asset sits on a 38,300 square metres site, 20 kilometres east of Liverpool. It has a gross lettable area (GFA) of 14,120 sqm, which consists of a 7,733 sqm high-bay warehouse, a 5,184 sqm normal 9 m height-bay warehouse and a 1,203 sqm in office and other ancillary areas.
Meanwhile, CEREIT also announced the divestment of its Opus 1 office asset in Finland to a local investor for $23.3m (€16.2m) which is 6.4% above the 31 December 2021 independent valuation.
The divestment will reduce CEREIT's exposure to Finland by 15% to 3.6%.