IO has completed the purchase of both Thorpe View, Banbury and Units 1-3, Argents Mere & 1-3 Hambridge Lane, Newbury, which form the latest acquisitions in its £120m UK Industrial joint venture, for a combined consideration of £4.43m.
Thorpe View, Banbury comprises a multi-let estate of c.30,000 sq ft across 4 units and reflects a net initial yield of 7.41%. The low passing rents provide excellent scope for rental growth, which is supported by strong occupier demand and an acute shortage of supply within the Banbury market.
Units 1-3, Argents Mere & 1-3 Hambridge Lane, Newbury provides an excellent value-add opportunity, having been acquired for a net initial yield of c.5.20%. The estate, which comprises c.42,000 sq ft across 6 units, is currently 42% vacant by floor area, and once fully let is expected to provide a highly attractive reversionary yield of c.9.30%.
IO Investment 2 is a joint venture between Grosvenor, the privately-owned international property group, Quilvest, an independent wealth manager and private equity investor and the IO Group.