CPO spin-off benefits Lanarkshire shed site

By STEWART McINTOSH

A MAJOR industrial property at Cambuslang in Lanarkshire has changed hands in a £7.65 million deal, reflecting a net initial yield of 7.5 per cent.

Buccleuch Property has purchased the 174,396 sq ft Clydesmill Industrial Estate, which forms part of Cambuslang Investment Park and comprises 16 units plus development land. The seller was Falcon Property Trust and estate

Stuart Orr of DTZ Investment, who represented Buccleuch, said: “The location is excellent and will improve further with time. Supply is reducing in the south east quadrant of the city as a consequence of Compulsory Purchase Orders from the M74 extension and the Commonwealth Games site.

Clydesmill - benefiting from reducing supply elsewhere

With passing rental levels falling short of market value, the asset offers real prospects for good levels of growth.

“I’m confident that Buccleuch will be able to push the running yield past the 9 per cent level. Around 12 to 18 months ago, they would not have been in a position to acquire this quality of asset, and as such, this deal reflects outstanding value.”

CBRE advised Falcon Property Trust.