Barwood and Caisson iO acquire prime Kent industrial estate
BCCIM, a joint venture between UK based real estate investment and development specialist, Barwood Capital, and independent investment management company, Caisson iO, has successfully completed its eighth acquisition on behalf of the Urban Industrial Income LP (UII) with the purchase of Deacon Industrial Estate in Royal Tunbridge Wells, in Kent.
The site is strategically located in a strong South East town, which currently has an undersupply of industrial and logistics space.
The 22,318 sq ft GIA MLI and Trade Counter Estate comprises four well-presented units in one unbroken terrace and is currently fully occupied and let to four occupiers, including Dulux Decorator Centre, Yesss Electrical and GSF Car Parts.
A key focus will be on reviewing and improving the estate’s sustainability credentials, aligning with BCCIM’s commitment to ESG initiatives. Refurbishment of the units will be undertaken to respond to an increasing demand from occupiers for operationally efficient assets.
Launched in May 2021, UII is dedicated to investing in multi-let and urban industrial assets across key regional locations in the UK. The addition of Deacon Industrial Estate brings UII’s total assets under management (AUM) to nearly £63 million, covering approximately 600,000 sq ft of industrial space.
Jonny Ellerington, Investment Director at Barwood, said:
“This acquisition is an excellent addition to UII, aligning well with our overall Fund strategy as we expand the portfolio. The portfolio has performed exceptionally well in recent years, despite challenging economic conditions and is well placed as we continue to add value to the assets and as general market conditions improve. Deacon Industrial Estate is a complementary addition, being in a prime location and with a strong line up of existing tenants.”
James Burgess, Director, Investment Management at Caisson iO, commented:
“The South East continues to see strong occupier demand, underpinned by structural shifts in e-commerce, last-mile delivery and resilient trade counter demand. This estate presents a clear opportunity for income growth through active asset management and targeted refurbishment, while also meeting the ESG criteria increasingly sought by our occupiers and investors.
Looking ahead, BCCIM remains focused on identifying well-located industrial estates that combine resilient income with long-term growth potential.”
Penningtons Manches Cooper advised BCCIM, and Tim Bishop of Bishop Whitehead provided occupier consultancy. Knight Frank advised the seller.