Crosstree and Bloom acquire two London industrial estates

Crosstree Real Estate Partners and Bloom, through their £200 mln (€230 mln) joint venture focused on last-mile logistics, have acquired two vacant London industrial estates for £20.7 mln (€23.9 mln).

Centenary Road, Enfield

Hanwell Works, a 3,953 m2 freehold, was purchased for £11.1 mln (€12.8 mln) and will be transformed into four modern units.
2-7 Centenary Road, a 3,106 m2 terraced warehouse acquired for £9.6 mln (€11.1 mln), will also be split into four units.
The properties will be repositioned into Grade A multi-let units with improved sustainability, furthering the joint venture's strategy of investing in underinvested Greater London assets.
These acquisitions follow the purchase of Fairview Business Centre in Hayes from A2 Dominion Group last September for £30 mln (€34.6 mln).
The latest deals align with the venture's aim to create Grade A, sustainable industrial spaces in London's supply-constrained market.
Tom Davies, co-founder and managing partner of Bloom, said: “These acquisitions are a strong fit for our joint venture with Crosstree, as they are well-configured assets that we have purchased below replacement cost with clear potential to be upgraded and modernised. We remain disciplined with our asset selection, with our data demonstrating that Hanwell and Enfield are both under-supplied sub-markets for our proposed unit sizes.” 
Liam Singh, managing director, Crosstree, said: “Both Hanwell Works and Centenary Road benefit from strong underlying asset fundamentals and excellent last-mile industrial locations, with the opportunity to create institutional-quality assets through targeted refurbishment programmes. They represent exactly the type of assets our joint venture with Bloom is seeking." 
Bond Land and JLL advised Bloom and Crosstree on the Hanwell Works and 2-7 Centenary Road acquisitions, respectively. JLL and Vokins advised the seller of Hanwell Works, while SBY Real Estate advised the seller of Centenary Road.
Bloom is growing its footprint in the industrial and logistics sector through two joint ventures. One, with TPG Angelo Gordon, comprises around 27,871 m2 across 7 properties in inner London. The other, with Crosstree, focuses on acquiring and developing high-quality multi-let industrial estates in last-mile locations across London and other key UK cities.