We recently acquired a share in Chaucer House, a logistics property, in south east of London. This acquisition expands our UK portfolio to six properties. We are particularly excited about this new acquisition as it is our first property situated to the east of London in a very sought after node close to excellent transport links, just five miles from Junction 1A of the M25, and the Queen Elizabeth II Bridge. The M20 motorway is also within easy reach, providing access to the major ports of Dover and Folkestone.
A refurbishment project is already well under way, which, once complete, will position the asset to attract blue chip logistics tenants at higher rentals on long-term leases. This is likely to be supported by plans to improve and transform the area in coming years, with substantial infrastructure development planned, along with a new residential development nearby.
Logistics property demand in the UK was boosted in the short term by trends arising out of the pandemic, with the sector likely to see continued growth into 2021.
Overall trends in the region are emphasizing the appeal of light industrial property that’s well suited to logistics and other similar businesses. Even though the UK’s vaccination programme is already ubiquitous, the popularity of online shopping continues to increase, as does demand for other consumer goods across the country.