MCM makes £2.5m Wakefield buy

North East property group MCM Group has purchased a freehold investment on Telford Way as it continues its UK expansion.

The 19,500 sq ft detached distribution unit at the intersection of the M1 and M62 motorways is occupied by Yorkshire Ambulance Service NHS Trust, which has a 20-year lease on the property at the Wakefield 41 industrial estate.

Returning a six-figure annual rent, the property was acquired from Columbia Threadneedle. MCM said the deal is representative of its strategy to invest in market-leading properties in pivotal locations across the UK.

The deal follows MCM securing 10-year terms with Speedy Hire on a 28,500 sq ft unit at Felnex Way, Leeds.

Douglas Cranston, MCM Group’s investment director, said: “Close to two of the country’s main motorways as well as two major airports and only a mile from the nearest railway station, this site is part of Yorkshire’s most dominant distribution and trade hubs, with neighbouring occupiers including Morrisons, Coca-Cola, Eddie Stobart and UPS to name a few.

“The covenant strength of Yorkshire Ambulance Service NHS Trust as tenant of the property was a major draw and we believe the property will be a fantastic addition to our growing portfolio.”

Henry King, associate director at CBRE, which acted for MCM, added: ““The asset itself benefits from very strong fundamentals, which in combination with the length, security and growth prospects of the income stream, made this a compelling investment opportunity and we are delighted to have been able to assist our client in its acquisition.”

The Yorkshire Ambulance Service NHS Trust signed up in 2022 and is currently investing in the premises as part of a comprehensive fit out programme, before taking occupation this spring.

Columbia Threadneedle was represented by letting agents Ereira Mendoza and Commercial Property Partners.