Premcor Estates and JV partner Peveril Securities have sold 285,000 sq ft of industrial space at Catalyst in Sheffield to KKR Real Estate’s European industrial and logistics platform Mirastar for an undisclosed price.
Catalyst forms part of the Advanced Manufacturing Park and comprises five units ranging from 22,354 sq ft to 108,237 sq ft.
Premcor and Peveril agreed a deal with Mirastar to forward sell the scheme, which sits on an 18-acre site, and Mirastar appointed Knight Frank, GV&Co and M1 Agency to market Catalyst. As a result, units one and three – which account for 50% of the scheme’s overall space – were pre-let prior to practical completion.
Simon Hawkins, Premcor director, said: “Premcor has an entrepreneurial approach to property development and a track record of successfully matching market demand with investor requirements and this deal was no different. The site was part of the former Sheffield Airport land, so we were delighted to be able to buy it off market. It’s in a highly sought after location, just off the M1 and close to the M18 where there has been a lack of new development stock coming forward recently, which means the area benefits from a strong occupier demand with rents moving on towards and beyond £8/sq ft.
“We approached Peveril with the site at the outset. It is the first time we have worked together, so I would hope we can do so again going forward. It is also our first time working with Mirastar after marketing the funding opportunity via our investment agents, Doherty Baines and Knight Frank. It has all gone very smoothly and we are pleased with the result.”
Ralph Jones, managing director of Peveril, added: “Peveril specialises in investment and development both in a sole capacity and as a JV partner, so I was pleased to be approached by Premcor with this opportunity which was a great fit for our portfolio. As part of the B+K Group, Peveril enjoys the benefit of being able to finance a variety of deals from balance sheet capital. It has been a good experience working with Premcor and a most satisfactory outcome.”
Kris Britland, Mirastar’s development director for Northern Europe, said: “Mirastar is a pan-European logistics developer, investor and asset manager and acquires land for speculative and built-to-suit developments. The development at Catalyst has been an exemplary acquisition for us.
“We agreed terms with Premcor and Peveril to help bring forward the scheme. Fronting Sheffield Parkway, it is in a prime position to satisfy a wide range of occupiers, offering an advantageous location adjacent to the main arterial route from the M1 for occupiers wanting growth or relocation opportunities, in addition to the opportunity to tap into excellent labour resources in the region.”
