Global developer Gazeley, who own and manage logistics warehouses and distribution parks, has sold its 669,000 sq ft ecommerce distribution centre in Milton Keynes to Aviva Investors for £74.2m.
The site is currently under construction for John Lewis at its flagship UK development site Magna Park in Milton Keynes and will be forward funded by Aviva Investors and is scheduled for completion in February 2014.
Nigel Godfrey, Senior Vice President Gazeley commented: “We took the decision to sell this prime asset in light of the recent surge in investor demand and received a number of very strong offers. We are very pleased to have completed this deal with the Aviva team in just 10 days which was in line with our expectations.”
The completed building will be physically linked to John Lewis’ existing 650,000 sq ft distribution facility located on the park – which was also developed by Gazeley in 2007 – and will be let to the retailer for 30 years with inflation linked rent reviews each year.
Renos Booth, Fund Manager at Aviva Investors said the deal continued the strategy of acquiring long term, inflation-linked income from undoubted covenants.
He added: “We are also pleased to have been able to build upon Lime’s track record of working with developers to complete this mutually beneficial transaction in such a short time frame”
Colliers International acted for Aviva Investors with Jones Lang LaSalle and Savills acting for Gazeley.