Tritax launches open-ended real estate fund to invest in London

Specialist investor Tritax has launched the Tritax London Logistics Fund (TLLF), targeting the booming industrial and logistics sector in Greater London. 

Logistics - Tritax

Formerly the Airport Industrial Property Unit Trust (AIPUT), specialised in airport-related real estate, the fund, transferred from Aberdeen in July 2023, has been strategically repositioned. 
While maintaining a substantial presence around Heathrow, TLLF will now capitalize on the e-commerce driven surge in last-mile logistics across London, focusing on multi-let industrial estates, last-mile facilities, and mid-sized warehouse clusters, primarily within the M25.
The fund offers institutional investors access to this high-growth market, fuelled by increasing demand for London logistics space. With parcel deliveries expected to double by 2030 and limited supply growth, rental increases have been significant. 
Beginning with a solid foundation of 17 assets, totalling 2.2 million sq ft and valued at approximately £700 mln, mostly in Heathrow and West London, and a projected rental reversion of 39%, TLLF aims to double in size over the next three years to £1.5 bn through development, equity raising, and asset sales. 
Led by a new team under Fund Manager Nick Ireland, the fund has already achieved top performance in the MSCI/AREF UK Quarterly Property Fund Index in 2024 and is converting to a Private REIT.
Nick Ireland, fund manager, Tritax London Logistics Fund, said: “We are seizing the opportunity to reshape our previously airport-focused portfolio and offer investors direct access to a wider range of logistics assets in the attractive Greater London market. “We’re very excited about the evolution of the Fund strategy and structure which should provide the springboard to meaningfully grow the Fund over the coming years whilst aiming to deliver compelling returns for investors.  We’ve had a busy start to the year with the sale of the Manor Farm site, progressing our development pipeline and commencing our equity-raising campaign.”