The Crown Estate has agreed to buy a Honda vehicle storage facility at Cabot Park, Avonmouth, near Bristol.
The deal more than doubles its tiny portfolio of industrial space, which is currently worth just £50m.
The facility spans 92 acres. Honda will pay rent of almost £4m a year under an existing lease with 15 years left. The Crown’s rental return will be 6.19%.
The Crown Estate is seeking to diversify its £5bn property portfolio away from assets with aristocratic association and it is cutting exposure to the volatile office market.
It has agreed to sell Meudon House, in Farnborough Hampshire, and it is considering selling some of its farmland.
References: The Times 03/10/05 page 40-41, page 42 (Need to know)
