Floorcoverings distributor secures sale and leaseback on distribution centre
Headlam has secured a sale and leaseback of its Tamworth distribution centre in the Midlands.
By Liza Helps, Property Editor, Logistics Matters
THE FIRM has sold the warehouse for £21.75 million to private limited company HEPP Mid Box Limited and has taken a 10-year leaseback with no breaks at a rent of £1.5 million a year.
The sale proceeds represent a premium of 153% to the book value of £8.6 million and 43% to the last market valuation of £15.2 million carried out in 2023.
The Tamworth distribution centre will remain a core part of the Group’s distribution network and is integral to the Group’s growth plans over the coming years. Accordingly, the Group has entered into a 10-year leaseback, with the opportunity to extend further. This sale and leaseback transaction further optimises the Group’s mix of owned and leased distribution centres.
Of the £21.75m in proceeds, £21.1m had been received in cash following simultaneous exchange and completion, with a further £0.7m to be paid once Headlam completes agreed repairs and maintenance.
