Craigard secure Meyer Timber at Chippenham in first syndication deal
Craigard have acquired the Beaufort Building on Bumpers Farm Industrial Estate in Chippenham Wiltshire alongside a syndicate of private investors.
Acquired at a price of £2.25 million the building has been simultaneously let to Meyer Timber Ltd for 15 years at £220000pa with five year yearly upwards only rent reviews to either open market rental value or 2.5% per annum index linked. The price represents 9.25% initial yield.
The building comprises a modern detached single storey warehouse of 54000 sq ft approx with an 8% office content and standing on a large secure yard of 2.72 acres. The building is about 20 years old and has a 7.1 metre eaves height.
Craigard have previously assembled selective joint venture partners to conclude acquisitions but this is the first time they have used a wider high net worth investor syndication structure. Commenting on the acquisition Paul Foster managing partner of Craigard said "This looks to us to be a very sensible investment at an attractive price which we think should perform well over the next few years. The syndication structure was a new experience for us but it has been a good one and we expect it to be the first of many."
JP Elliott advised Craigard, Jones Lang LaSalle advised Meyer Timber Ltd and Budworth Hardcastle and Alder King advised the vendors.