Commercial Finance Specialists

Rockspring Property Investment Managers have announced their acquisition of Mole Business Park in Leatherhead, Surrey.

The £38.14 million deal, from Hermes Real Estate Investment Management Limited, reflects a 7.3% net yield per annum. The purchase comes after an investment of £70 million from new global blue chip investors.

Mole Business Park, situated in the town centre of Leatherhead, comprises 245,000 sq. ft of commercial property, with 19 industrial units and three office buildings.

Parent company Rockspring Hanover Property Unit Trust (RHPUT) has sought to increase exposure to office and industrial sectors in the south-east of England and, in Leatherhead, lands a well located park with commercial potential.

Neal Shegog, Fund Director of RHPUT, commented: "This acquisition offers strong rental growth potential given the low supply and strengthening demand in the south west quadrant of the M25 for good quality office and industrial accommodation.

"We also have the opportunity to retain tenants beyond their existing lease terms, improving the longevity of income and maintaining an attractive blended yield profile. This purchase further enhances the quality of the real estate the Fund holds".

Formed in 1967, RHPUT is the longest established property fund in the UK. It seeks to offer investors long term strong performance by investing in core assets that can be deliver more through active management, or that have considerable growth potential.

Lambert Smith Hampton acted for Rockspring and Strutt & Parker represented the vendor. As at June 30, 2011, the RHPUT Fund reported a net asset value of £469.3 million.