Stenprop acquires industrial estate in the UK for R409 million

Industrial landlord Stenprop said on Wednesday it has completed the purchase of the Bowthorpe Park Industrial Estate in Norwich, UK, for £19.6m (R409m).

The company, which is seeking to become a specialist UK-focused group that provides work spaces for small and medium-sized businesses, said as a result of the acquisition the share of multi-let assets in its portfolio had risen to 60%, from 58%.

Stenprop’s head of investment, Will Lutton, said the variety of tenants at the estate provided diversification of income.

The group said it was encouraged by the information it had collected from its existing portfolio during Covid-19, “with evidence of pent-up demand from occupiers across the country”.

“That knowledge, combined with the underlying market dynamics in Norwich, which has a low void rate, is a strong indicator that this estate is well placed to deliver sustainable and growing income returns,” Lutton said.