Milton Keynes commercial property deal agreed

Commercial property facilities in Milton Keynes have been sold by Universal Music Group in a deal worth £10.1 million.

Aberdeen Property Investors has taken on the single-let distribution warehouse on Kingston Industrial Estate, with the purchase price reflecting a net initial yield of 9.28 per cent.

Originally constructed in 1996, the site is based close to the M1 motorway and is currently let to Arvato SCM.

Will Ikin, associate director of industrial investment for CB Richard Ellis (CBRE), which managed the sale, said: "The sale reflects the view that institutions are now willing to take a view on shorter lease lengths where the property fundamentals are strong."

He added that investors were previously not prepared to make such moves.

News of the deal has come after CBRE confirmed it advised Harbert Management Corporation over the sale of a prime, single-let distribution warehouse on Premier Park in Oulton, Leeds.

Aviva Investors Pensions has bought the commercial property.