Warehousing landlord Segro on Monday said it has bought an estate in west London for £202.5 million.
The FTSE 100 sheds firm has bought the 34-acre site, Perivale Park, from investment manager Federated Hermes. The new owner said it is “perfectly located for distribution into London”.
Segro, which has benefited in recent years from online retailer demand for warehouse space, said Perivale Park comprises around 593000 square feet of space across 23 properties. It is fully-let and generates rental income of £6.8 million.
Alan Holland, business unit director for Segro's Greater London portfolio, said: "Perivale Park is a perfect fit for Segro, sitting adjacent to the A40 and nestled between our core holdings in Greenford and Park Royal.”
Holland added: “It offers a rare opportunity to build further scale and drive value in an area where we already have considerable expertise and knowledge of the local market and customer base. It also offers medium-term development and redevelopment potential in one of London's prime, and most supply-constrained, industrial clusters."
The purchase come two months after Segro’s chief executive, David Sleath, said in a statement on Covid-19 that the company anticipates that the “structural trends that have been driving occupier demand for high-quality, well located warehouse space will remain intact”.
