July 12, 2011
Highcross has acquired seven office and industrial properties in Aberdeen, Dunfermline and Glasgow, in a £20.3m deal.
The properties, which total 350,000 sq ft, are part of the Ben Cleuch portfolio, and have been purchased from Bonnytoun Estates. The purchase price reflects a net initial yield of 9.1%.
Five of the properties are in Aberdeen, and include the 23,371 sq ft Cromarty House office building in Regent Quay, which is fully let to Det Norske Veritas UK and a further 20,717 sq ft office building on Peregrine Road, Westhill Business Park. Peregrine House is a modern, fully refurbished two-storey office building occupying a prime 2.3 acre site in the business park.
Also in Aberdeen, Highcross has purchased a multi-let industrial estate and two headquarters-style office/industrial facilities on Denmore Road, Bridge of Don, together with industrial and office/warehouse premises on the Altens Industrial Estate, Aberdeen. The Denmore Road properties total around 124,000 sq ft and are almost fully occupied.
At the Altens Industrial Estate, the portfolio includes fourteen industrial units, totalling 64,189 sq ft, and a vacant office/warehouse complex on Blackness Road, comprising a three-storey office block, secondary two-storey office building and 4,000 sq ft of warehouse accommodation.
The remaining properties acquired by Highcross, are in Glasgow and Dunfermline. These include three two-storey office pavilions at the Phoenix Business Park in Linwood, Glasgow, which provide 26,627 sq ft and are located within easy reach of Glasgow International Airport and just off Junction 29 of the M8.
In Dunfermline, a 63,764 sq ft distribution warehouse has been acquired in Pitreavie Business Park. The unit, which is fully let to FMC Technologies, includes a two-storey office block and secure yard, on a 3.3 acre site.
Mark Evans, who leads Highcross’ Scotland-based team, says: “Highcross is building a strong portfolio of office and industrial schemes in key locations in Aberdeen, Glasgow and Edinburgh. These latest acquisitions, all of which are in established business and industrial areas, offered an attractive opportunity to add significant value, through re-gearing, implementing rent reviews, and letting vacant space.”
In the past six months, Highcross has also completed the purchase of two further office and industrial schemes in Aberdeen – Silverburn House, Bridge of Don and a 100,000 sq ft industrial/distribution unit at Wellheads Terrace.
Highcross was advised by Tom Fulton of Colliers, Glasgow and Bonnytoun Estates by Simon Cusiter of JLL, Edinburgh.