Logistics & Industrial

A dedicated industrial investment vehicle focused on creating a diversified portfolio of logistic units / distribution warehouses. The portfolio was accumulated on a piecemeal basis and comprised c.700,000 sqft of accommodation across four assets in key UK logistics and last mile locations (Milton Keynes, Warrington, Crewe, Felixstowe).

The strategy is to target units with short to medium term lease lengths, with the ambition to build a portfolio of good quality, well located, institutional grade logistics units where we used our asset management capabilities and experience to bring further value to each asset.

A dedicated industrial investment vehicle focused on creating a diversified portfolio of single-let logistic units. MLP’s first investment was a portfolio of three modern, institutional quality and well located logistics units, located in the Midlands and North of England (Rushden, Warrington and Deeside). At the time of ownership assets were let to a number of strong covenants including Next, Urban Outfitters and Mayr-Melnhof Packaging.

The UK Logistics Fund (‘UKLF’) was acquired in a 50/50 joint venture with SEGRO plc for £314m. The portfolio comprised 14 prime logistic warehouse units, plus 1 development site, totalling 4.35m sq ft, in 12 locations on, or near, main arterial roads in established distribution areas across the UK. Occupiers included Tesco, Sainsbury’s, Royal Mail, Booker and Exel UK. Two newly built units totalling c.950,000 sq ft were vacant on acquisition. Both Moorfield and Segro undertook strategic investment and asset management roles. The portfolio was re-launched with a new branding and marketing strategy as the Logistics Property Partnership (‘LPP’). LPP sold 2 logistics assets in Avonmouth totalling 326,505 sq ft to the NFU Mutual. Following the successful letting of the two vacant units (c.950.000 sq ft) and the conclusion of a number of rent reviews c.975,000 sq ft) Segro acquired the remaining stake.

A 637,000 sqft freehold Distribution Centre in Thrapston, Northamptonshire, acquired from Ikea for £35.0m. Let in its entirety to Primark Stores Ltd, Moorfield reached an agreement for Primark to extend and improve the terms of their lease in return for the construction of a 140,000 sq ft extension.

Heywood was acquired in June 2003 for £126.5m from Ropemaker Properties (BP Pension Fund) by Moorfield Group, Uberior Ventures Ltd (a subsidiary of Bank of Scotland) and Westbrook Partners Consortium. The Park had over 2.6m sq ft of industrial and distribution accommodation with units ranging from 3,500 sq ft up to a total of 600,000 sq ft. Major occupiers included Littlewoods, Argos, JD Sports Kuehne and Nagle and JD Williams.

The site cover was very low at 35% and hence the capacity for an additional 1m sq ft vacant accommodation on acquisition was 255,169 sq ft in various unit sizes. New lettings of c.850,000 sq ft were achieved during the period of ownership. The letting of the Hub to Next Group was one of the largest lettings in the North West during 2005. Following major refurbishment projects Heywood was established as a main industrial park in the North West. Additional amenities were provided and a new masterplan for 1m sq ft of development was agreed with Rochdale Council.

A 1.6 million sqft Industrial and Distribution (including Office) space located on a 105 acre site in Dunstable, near Luton. Acquired in January 2003 for £98.6m as a co-investment with Westbrook Partners LLC, the asset was sold in July 2005 for £116m. During Moorfield’s period of asset management, Moorfield completed new leases and lease renewals/regears on more than 250,000 square feet of accommodation, including the construction of a new 17,500 sqft distribution warehouse unit for a new tenant, the significant expansion of 2 existing tenants and the letting of 62,000 sq ft to Synergy Healthcare on a 25 year term.