INVESTMENT COMMITTEE · PRE-IC
Harlow Fulfilment Park — £80m acquisition
Harlow, Essex · 1,284,000 sq ft · 32-bay · national last-mile operator
Updated 14:32
SCHEDULED PRICE
£80.0m
£80.6 psf · net
LEVERED IRR
13.7%
10-yr · 50% equity
NET ASSET VALUE
£73.9m
valuation ref SV-041
ENTRY YIELD
5.1%
contracting £4.08m
FUND HURDLE
12.0%
173 bps headroom
SMART BRICKS INVESTMENT VIEW
CONDITIONAL PROCEEDAttractive basis and resilient income, with returns dependent on disciplined exit pricing.
The acquisition sits within Fund V’s UK logistics mandate and clears the 12.0% levered hurdle. Lease duration and re-letting evidence support the case; the primary downside is a 2031 reversion into a softer occupational market.
WHY IT WORKS
9.6% discount to replacement cost; 96% occupancy in the local submarket.
WHAT BREAKS
IRR falls below hurdle above a 6.35% exit yield or 18 months void.
FIRM FIT
Mandate compliant. Position size is 7.4% of Fund V NAV after close.
MATERIAL JUDGEMENT ITEMS
3 of 5 resolved