Wolverhampton industrial site bought for £7.7m

The site of around 100,000 sq ft at Parkside Industrial Estate, off Hickman Avenue, consists of 11 units.

Plans are underway for comprehensive upgrades to enhance the site’s functionality, appearance, and sustainability, including improving EPC ratings.

The purchase expands Clearbell’s logistics portfolio, increasing the number of assets from six to seven.

The 11 units at Parkside are let to four tenants and are 94 per cent occupied.

This acquisition aligns with Clearbell’s strategic focus on securing industrial assets below replacement cost as well as offering significant reversionary potential to enhance rental values.

As part of comprehensive upgrade plans for the Wolverhampton site, Clearbell will re-roof some units, install photovoltaic panels, expand yard areas, upgrade signage and improve the general appearance of the estate.

The vacant unit on the site will receive a minor refurbishment before being re-let.

Rob Cole, senior investment manager at Clearbell Capital, said: “The Wolverhampton acquisition is an excellent addition to our logistics platform, aligning with our strategy of purchasing industrial properties with significant reversion and below replacement cost.

"The compelling opportunity here is to enhance rental values, improve the EPCs to an institutional standard and upgrade the estate’s overall appearance and functionality. We are excited to add Wolverhampton and continue to search for new opportunities for the portfolio”

Clearbell was represented by MK2 Real Estate on the acquisition. Mark Rooke, director in MK2 Real Estate’s investment team, said: “The industrial property market is buoyant in the West Midlands, particularly for good quality multi let estates in Wolverhampton and the surrounding areas due to its central location and rich history in manufacturing and engineering. As such, it is attracting both occupiers and investors.

“Parkside Industrial Estate presented a strong case for investment, with potential rental growth and asset management opportunities.”

Oliver Forster, senior director in CBRE’s investment properties team, advised the vendor. He said: “The sale of Parkside, following a competitive process, demonstrates the continued investor demand for multi-let industrial opportunities in established locations.”