LondonMetric Property, the FTSE 250 warehousing landlord, is looking to capitalise on high demand for logistics space in the capital, with two purchases totalling £20.2 million.
The firm, led by Andrew Jones, said it has bought ‘last mile logistics assets’ in Fulham and Tottenham.
The properties collectively total 44,000 square feet and have been acquired with vacant possession. The new owner plans to refurbish them at a cost of £1.4 million.
Demand for storage and distribution space has soared during the pandemic, and amid the well-documented supply chain headaches, a number of firms have recently sought more room to hold goods in the UK.
The boom in food deliveries over the last year has also seen good demand for ‘dark kitchen’ space, providing room for takeaways to be prepared.
LondonMetric said at its new 21,000 square feet warehouse in Fulham, terms have already been agreed with Jacuna Kitchens, a dark kitchens operator, to pre-let around 60% of the space.
LondonMetric’s Jones said: "It is clear that occupier demand for urban logistics assets in the strongest geographies is delivering superior rental growth.”
He added: “These acquisitions form part of LondonMetric’s strategy to increase its urban logistics investment within London and the South East, where there is a high intrinsic land value from alternative use."