Developer starts year by taking on multiple plots in Midlands

Rotherhill Developments, a Midlands-based property developer and asset manager, has completed a number of acquisitions in the first half of 2024.

The acquired sites include industrial sites in Nottinghamshire, Rugby, King’s Lynn, Barnsley and Leicestershire, extending the company’s geographical reach.

Of the six locations, five generate income through short- and medium-term rentals.

The 50,000 sq ft Rugby site is currently empty and the developer has committed to a development contract worth more than £1m to secure the site for the future.

Owner Paul Bagshaw said: “It has been a busy period for us, recruiting Stuart Waite from Commercial Property Partners, promoting Ed Jeffrey to director in recognition of his hard work over the last five years, and acquiring six assets with a combined value of around £15m with our long-standing partners and funders.”

“The assets purchased extended our geographical reach from King’s Lynn into Yorkshire and the plot sizes were within our traditional ‘sweet spot’ of £1m to £5m.”

Director Ed Jeffrey said: “While the labor and investment markets are rebalancing, there continues to be good levels of activity in the small and medium-sized industrial sector, which is our primary focus area. We continue to see good opportunities to buy, with and without income, in well-located existing industrial units under 75,000 square feet, up to 30 years old and in need of renovation and improvement.

“In the smaller end of the market, the lack of new supply over the past 10 years, combined with current development feasibility constraints, creates near-term potential for a reversal in stock rents and positive prospects for future growth in both rents and capital values.”