Infinium Logistics has completed the acquisition of an EV charging facility let to Amazon in Banbury for £28m from Paloma Capital.
The deal for the 200,000 sq ft warehouse, which Amazon operates as a 588-space EV-ready fleet parking facility, is the second site Infinium has secured for its dedicated EV fleet charging real estate fund.
Paloma Capital acquired the asset, which includes a long-let Starbucks drive-thru, in 2018 for £5m and subsequently invested an additional £9m in the 14.34-acre site. The asset produces an income of £1.54m per annum.
In partnership with GreenPoint Partners, Infinium’s property investment platform is targeting a £500m portfolio of assets and will invest in FleetHubs, a new sustainability-focused asset class which ‘combines commercial real estate and low carbon energy infrastructure to create a better working environment for last mile delivery service providers and combat climate change’.
The platform’s first major investment was in Swindon and it is advanced discussions for an ‘extensive pipeline’ of assets in key industrial locations across Europe. It is targeting brownfield sites of more than 2 acres within 10 minutes drive of clients’ major occupational requirements and with excellent grid connection or capacity.
Joe Froud, co-founder of Paloma Capital, said: “When we acquired the site, the vendors had proposed a retail-led redevelopment of the whole site. We are really pleased to have not only devised an imaginative ‘low carbon’ re-purposing of the original building, but also ultimately ended up creating a substantial EV charging park, assisting Amazon with the de-carbonisation of its delivery fleet.”
Tom Gough, investment director at Infinium Logistics, said: “With a lease to a key tenant in Amazon, with whom we deepen our existing relationship, the property provides immediate income for our investors alongside a medium-term opportunity to add value through asset management.
“This acquisition demonstrates our ability to think outside of the (big) box and transact in a period of general market uncertainty. We look forward to working with market participants to acquire additional circa 5-acre sites near major urban centres where we can develop specialised van-charging infrastructure that enable our tenants to transition to electric vehicles.”
Phil Bayliss, CEO of Europe, Infinium Logistics, added: “This addition to our growing portfolio encapsulates Infinium Logistics’ ambitions to decarbonise, electrify and optimise the last mile delivery sector. This site provides critical EV infrastructure that will accelerate the transition away from ICE vehicles whilst also optimising and improving Amazon’s operations in the area.”
CBRE advised Paloma Capital on the sale.
