Merchant Property Unit Trust acquired for £12.3m

Leading UK trade park unit owner sold to Cubic Property Fund

Private investment firm Connection Capital today announced the sale of UK trade park unit owner Merchant Property Unit Trust (MPUT) to a syndicate led by the Cubic Property Fund.

MPUT owns a portfolio of 35 trade park sites across the UK, all of which are let to FTSE 100-listed building merchant Travis Perkins.

It owns a total of 449,398 sq ft of land, producing an annual rent roll of £2.3m.

The Connection Capital investment syndicate comprised 23 investors, which will take a collective 81.86% stake in MPUT alongside leading investor, Channel Islands-based private investor the Cubic Property Fund.

Connection’s clients provided £5.8m of equity, alongside a £6.5m input from Cubic.

The Royal Bank of Scotland also provided £21.7m of senior debt to refinance the portfolio.

The deal will be monitored by asset manager Riverside Capital going forward.

Claire Madden, partner at Connection Capital, said: “This is another excellent deal for our clients and demonstrates the range and diversity of our investments.

“Due to our ability to source deals like this through our relationship with Riverside Capital, our clients can benefit from acquiring assets at keen prices outside a traditional fund structure.”

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