Leopard Capital has secured its debut deal in Yorkshire with the acquisition of the 1.25m sq ft Leeds Bradford Airport Depot, React News can reveal.
The London-based investment management and advisory firm has paid £25m to acquire the vast industrial estate from Broadland Properties, which had owned the site since 1969.
The estate spans more than 60 acres. It comprises a single building divided into 15 units ranging in size from 25,000 sq ft to 150,000 sq ft. Tenants include Jet2 and VLT Logistics, with the building generating a passing rent of more than £2.9m a year.
GV&Co had been instructed to handle the sales process in late 2022 with an asking price of around £30m, reflecting a yield of 9.07%.
The depot was originally built by Avro Aircraft Company. During the second world war, it became a “shadow factory” with a camouflaged roof, and was one of the largest aircraft production facilities in Europe, where around 700 Lancaster Bombers and 4,500 Anson aircraft were built.
During its ownership, Broadland Properties substantially modernised the building to meet tenant and occupational requirements, but opted to sell due to changing investment criteria.
With the deal Leopard Capital, which focuses on the acquisition of multi-let industrial estates in the UK, now has 1.7m sq ft of assets under its ownership. CPP acted for the buyer.
Garry Howes, director of investment at GV&Co, said “LBAD is a unique, highyield, multi-let investment opportunity with a rich trading history. The deal reflects confidence in the industrial sector and the North of England’s commercial property market.”
Alex Fordyce, chief executive of Leopard Capital, said the firm was “excited” about the purchase, and emphasised the structural undersupply of industrial space in the area, the expansion of the adjacent airport, and an ambitious asset management program including ESG improvements which will drive value.
Robin Bullas of CPP added that the site offered various asset management strategies to drive rents, and that the deal “signalled a stronger 2024 for the regional market”.
James Hill, director at Broadland Properties, added: “After significant capital investment in the building, it became a true engine of growth, with a strong continuing income stream. With changing group investment criteria and an ambitious acquisition pipeline, the time had come for Broadland Properties to pass this signature building into new ownership.”