Travis Perkins, the Northampton-based distributor of building materials, has completed the sale of a portfolio of seven properties for £23 million as part of a sale and leaseback package.
All seven sites have been let back to Travis Perkins plc on 15-year lease agreements.
The purchaser is funds managed by Longmead Capital.
The seven sites are located in locations across the Southeast and Midlands including Folkestone, Leicester, Loughborough, Redditch, Sevenoaks, Tunbridge Wells and Worcester. The majority of the sites have been purpose built for Travis Perkins Group within the last seven years and benefit from being located in established trade and industrial locations.
This transaction is part of Travis Perkins Group’s ongoing strategy to recycle capital from the freehold portfolio to invest in destination branches with an enhanced range of value-added services including Hire and Benchmarx kitchens.
Nick Pinney, Group property director, said: “The sale and leaseback of these high-quality assets allows us to unlock capital to invest in new properties that further enhance our customer proposition. At Travis Perkins Group we continually review our freehold property portfolio to identify value creation opportunities.”
Travis Perkins Group currently has a freehold property portfolio valued at around £1.1bn with the market value of the estate having grown by almost £600m since 2010. During this period, the Group’s active management of the portfolio has also generated net proceeds after reinvestment of over £100m and profits of over £300m.
