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News Release

London

Jones Lang LaSalle'S National Investment team advises on the sale of £312.2m UK Logistics Fund


London, 21st December 2011 - Jones Lang LaSalle’s National Investment team has advised on the sale of the UK Logistics Fund (UKLF) to a joint venture between SEGRO and Moorfield for £312.2 million.
 
The portfolio comprises 14 sheds and a development site in 12 locations, 70% of the income is located in the South of England. The accommodation totals 4.4 million sq ft, with a passing rent of £19.8 million. The weighted average lease length to break is over 11 years. Tenants include Tesco, Sainsbury's, GKN Aerospace, Royal Mail, Booker and Exel UK.
 
The portfolio was sold for £312.2 million, reflecting a net initial yield of 6.0% (6.3% with rent top-ups).
The sale was achieved with the assistance of building consultancy and asset management, who managed the portfolio.
 
Phil Marsden, Director, Jones Lang LaSalle National Investment team, commented: “The portfolio offer a rare opportunity to acquire a portfolio of high quality logistic assets. The sale has enabled the investors to take advantage of the strength of the prime logistics market.”
 
UKLF is owned by Legal & General, Hermes and LaSalle Investment Management. Former King Sturge LLP advised on its launch in 2006.