The speedy sale of an Aberdeen industrial unit highlights the strength of the commercial property market in Aberdeen, according to GVA James Barr.
Ballater Properties – represented by GVA – sold the unit in Kirkton Drive, Raith’s Industrial Estate, Dyce, to F&C Reit Asset Management for £4.1million.
The 37,472 square feet building and adjoining yard are let to German industrial-machinery giant Siemens until 2025 at an initial rent of £257,836 a year.
Uplift rent review provisions and the income potential were attractive for the buyer, helping GVA James Barr achieve a swift sale.
GVA James Barr investment director Graeme Davies said: “Aberdeen is a rarefied market which attracts substantial interest from institutional investors.
“In this case, we were able to attract immediate purchaser interest…and agreed terms within 24 hours of launching the sale.
“The strength of the market in Aberdeen and quality of the asset and income profile has allowed us to achieve an excellent result for the client.”
He added: “Notwithstanding the price achieved, we believe the property is substantially under-rented and, therefore, well placed to deliver future performance for the new owners”.
Chris Nicoll, head of industrial and logistics at F&C Reit, said: “This acquisition secures a long-term income from a substantial covenant, in a location which continues to be a UK success story.”
Knight Frank, which has Scottish offices in Aberdeen, Edinburgh and Glasgow, advised F&C Reit in the deal.
GVA James Barr is Scotland’s third largest commercial property adviser by turnover.
It was formed through last year’s acquisition of Glasgow firm James Barr by London-based property giant GVA.
