July 4, 2022
Fiera Real Estate, on behalf of the Fiera Real Estate Long Income Fund UK (“FRELIF”), is delighted to announce that it has achieved practical completion at its 50,000 sq.ft scheme at Great West Retail Park in Glasgow and additionally at its 30,300 sq.ft scheme on Planetary Road in Wolverhampton.
At Glasgow, the large 50,000 sq.ft retail unit is pre-let to The Range on a 20-year lease and subject to five yearly RPI rent reviews. There are two smaller adjoining pods totalling 3,000 sq.ft, which are both let to Connection Flooring Ltd on a 10-year lease. The site benefits from excellent road connectivity, being proximate to the A82, a key arterial route into the city centre and is adjacent to the established Great West Retail Park with anchors including Sainsbury’s and B&Q.
In addition, FRELIF purchased a 2.95-acre site in Wolverhampton in partnership with Opus Land in April 2021 and has since forward funded the project at a price of £12.1m reflecting a 5.3% net initial yield. The Opus-developed scheme comprises a Grade A 25,000 sq.ft regional HQ office building arranged over ground and first floors with a 5,300 sq.ft warehouse together with 119 car parking spaces. The scheme was pre-let to Cadent Gas Ltd, the largest gas distributor in the UK on a 20-year FRI lease subject to five yearly RPI rent reviews. The scheme offers exemplar ESG credentials and has achieved BREEAM Excellent and an EPC rating of A. Other sustainable features include solar panels on the roof to supplement power supply, heating and cooling systems and car parking spaces benefitting from EV charging points.
The long, strong and progressive income generated by the tenants on both of these developments, together with market leading ESG credentials, fits perfectly with the Fund’s overall strategy. Additionally, each scheme has sought to bring high-quality development and much-needed employment to the cities of Glasgow and Wolverhampton.
Rupert Sheldon, Fund Manager of FRELIF and Head of Core REIM at Fiera Real Estate UK added “These two latest additions to the FRELIF portfolio showcase how we work with our regional, part-owned property companies to provide a unique deal pipeline of high quality, long leased assets into the fund whilst exceeding all of our key ESG goals.“