Chancerygate acquires 825,000 sq ft World Freight Terminal estate

Manchester Airport’s 825,000 sq ft World Freight Terminal multi-let industrial (MLI) estate has been acquired by Chancerygate from Columbia Threadneedle for an undisclosed sum.

The urban logistics property developer and investment manager now owns the 54-acre, mission-critical, multi-let cargo facility adjoining the airport boundary. The site comprises 64 units across 17 buildings, along with standing accommodation and a development plot with planning consent.

Over the past 12 months, Chancerygate has acquired MLI investment assets throughout the UK and Ireland which total in excess of three million sq ft of space. Assets that Chancerygate has acquired over the 12-month period include the North Gate Portfolio, Dublin; Birch Business Park, Manchester; and Questor Industrial Estate, Dartford.

World Freight Terminal is 95 per cent occupied, with 39 per cent of floor space developed within the last five years and a further 13 per cent refurbished within the last 12 months. In addition, the site has low cover of only around 35 per cent. This includes a 6.7-acre development plot with planning consent for 150,000 sq ft of MLI accommodation that Chancerygate intends to bring forward.

Commenting on the acquisition, Chancerygate head of investment management, Simon Cowley, said:

“World Freight Terminal provides a diversified and complementary blend of long income logistics facilities, MLI units and future development opportunities, supported by an airport-linked occupier base.

“It benefits from exceptional tenant demand and aligns perfectly with Chancerygate’s investment strategy over the past 12 months of targeting dominant regional MLI estates.

“This sees us able to execute clear value-add initiatives, with short-term access to reversionary income and the ability to unlock longer-term development potential.”

In the UK, Chancerygate currently has around 2.2 million sq ft of urban logistics space under construction or ready for development across 15 sites ranging from Leeds to Croydon. The business also has offices in London and Birmingham.

Chancerygate was advised on the World Freight Terminal acquisition by property consultancy Tudor Real Estate and law firm Bryan Cave Leighton Paisner (BCLP). Commercial real estate adviser Newmark acted for the vendor. Agents for World Freight Terminal are B8 and Knight Frank.