UK Commercial Property REIT Limited (LON:UKCM), which is managed and advised by Aberdeen Standard Investments* and owns a diversified portfolio of high quality income-producing UK commercial property, announces that it has fully prelet its 180,000 sq ft Wembley180 logistics unit, London, ahead of the current tenant moving out at the end of March 2019.
UKCM has exchanged contracts on a new 10-year index-linked lease with no breaks with an international business at a rent of £2.7 million per annum. This lease has allowed the Company to capture and exceed the property’s reversionary rental value given the strength of this location.
The new occupier is expected to move into the building in October 2019 once UKCM has completed a comprehensive refurbishment of the asset to a Grade A specification. Works are due to commence as soon as the current occupier vacates the property upon lease expiry at the end of March 2019.
Wembley180 is an extremely well located, large scale urban logistics centre, which is situated on a 9.9-acre site in Neasden in close proximity to the M1 and M25, as well as the A406 North Circular, providing direct access to central London.
Will Fulton, Lead Manager of UKCM at Aberdeen Standard Investments, said: “This major pre letting to an international business is a significant transaction for UKCM. It allows us to secure a long term index linked income stream from a very strong tenant covenant, whilst at the same time capturing the site’s higher rent potential. We also expect pre-letting this property will have a positive impact on the building’s value. As a last mile logistics hub, Wembley is extremely sought after by businesses looking to service the increasing demands of London’s consumers, evidenced by our ability to secure a blue-chip occupier for the entire building before the current tenant has vacated the premises.”
