The Company was pleased to announce that it had signed an agreement to acquire a new logistic warehouse in the North of Spain for a net value of €15.3 million. The warehouse is currently under development with completion expected by mid-2019.
The property is located in a logistics park near Leon city centre and airport with excellent connections to the AP71, A66 and A231 highways. Other large occupiers of this park include the Spanish supermarket chain Mercadona and the global wind power solutions provider Vestas. Other nearby occupiers are Inditex, Schenker, K+N and TNT.
The total size of the property once completed will be approximately 32,600 square metres. This will be a state-of-the-art quality asset with 28 loading docks and a 5 tonne floor load capacity. The property comprises three modules and allows for flexibility to convert into a multi-tenant facility if required in the future.
On completion, the property will be fully let to a large international retailer on a fixed ten year lease with annual CPI indexation and the net yield is expected to be 6.0%. Under the terms of the lease, the lessee retains a right to call for the expansion of the logistic premises, up to an additional 10,020 square metres gross leasable area, thereby creating further potential upside for ASLI.