Crown Estate in £21.5m industrials sale

We have announced today that we have sold Crown Industrial Estate in Taunton to Legal & General Property for £17.25m and Victory Business Centre in Isleworth to Dunmoore Group for £4.25m.


30 January 2015

Hannah Milne, Regional Portfolio Manager said: “With the economic recovery continuing to move beyond London, investors have been increasingly looking to make new acquisitions, especially in assets like industrials which have been less fully priced than retail or offices over recent years. In the context of a strong investment market, we have been able to make opportunistic disposals at Taunton and Isleworth which will generate capital for deployment across our core sectors.”

Legal & General Property has acquired Crown Industrial Estate in Taunton on behalf of its Industrial Property Investment Fund (IPIF).

In the context of a strong investment market, we have been able to make opportunistic disposals… which will generate capital for deployment across our core sectors.”

Hannah Milne, Regional Portfolio Manager

Tim Packer, Senior Asset Manager for IPIF at Legal & General Property commented: “Further increasing the Fund’s weighting to trade occupiers, this acquisition provides us with a number of attractive asset management opportunities. Using our unique development and sector specialist skills, we look forward to turning the estate into the dominant industrial trade scheme in Taunton.”

We built the 167,000 sq ft Crown Industrial Estate in the 1970s in a number of phases. The Estate is split into 27 units, which are let to a range of businesses including Debenhams, Smiths News, Cable & Wireless, Skanska and Screwfix.

Victory Business Centre in Isleworth includes 41,000 sq ft of hybrid industrial/office accommodation let to tenants such as Danfo, Northropp Grumann and BCM, with two vacant units.

Jeff Hobby, MD at Dunmoore commented: “This acquisition fits our strategy of acquiring industrial stock which can be successfully repositioned in the market place, and we have some really exciting ideas to enhance the quality of the estate. We are currently seeking to reinvest cash from our £50million GDV Residential development at Langley, and this purchase represents an excellent step in that process.”

We have disposed of a number of industrial estates and business parks over the last few years, as we continue to rebalance our commercial property portfolio outside of London towards dominant regional retail and leisure schemes. We have established our as the UK’s fourth largest direct owner of dominant out of town shopping and leisure parks and our most recent acquisition was Leicester’s Fosse Park, which we purchased in the summer of 2014 in partnership with Gingko Tree Investment Ltd.

In December 2013, we sold Zenith Industrial Estate in Basildon and Cabot Park in Avonmouth for a combined £50m whilst in February 2013, we sold industrial estates in Wimbledon, Kidlington and Swindon to Knight Frank Investors for £32m.