Midlands-based Goold Estates has bucked current market trends by buying a Black Country industrial estate to expand its property business – and says it is on the look-out for more.
The company has not let the credit crunch hamper its plans for growth and has acquired the four-and-a-half-acres Cookley Wharf Industrial Estate in Brierley Hill for an undisclosed sum. It will substantially improve and modernise the site.
The estate sits alongside the Stourbridge Canal and has 15 units, ranging from 4,000 to 50,000 sq ft – a total of 125,000 sq ft. It particularly attracts tenants in the distribution and storage, engineering and steel stockholding sectors.
Managing director Dominic Goold said: “The estate is in a good location with units at attractive rents. We are confident we can add extra value with our hands-on management approach and entrepreneurial flair.
It is a significant expansion for us and shows that there are still deals to be done even in the current economic climate.
“We were able to act quickly. We raised the finance with our bankers HSBC, with whom we have a long relationship, and the deal was completed in just 28 days.”
The Walsall-based company manages, develops and leases commercial offices, shops, industrial and warehouse units in Walsall, the Black Country and Birmingham. Its own team manages its property, rather than using external agents, and the company is still looking for more opportunities in its catchment area.
Dominic added: “We have finance available for further purchases. We are not highly geared and we have not borrowed a lot of money in the past.
“We are acquiring properties for the long term and if we see a good value property we will buy it. We are proud of our track record in successful asset management.”
Cookley Wharf was bought from Bridge Properties and Hampton Investments, neither of whom was represented.
A comprehensive refurbishment programme has started. The improvements planned include installing CCTV for added security and upgrading the units there.
Goold’s property arm was launched in 1998. It has expanded rapidly and is committed directly to development projects with a value in excess of £75-million.
In 2000 it formed Norton and Proffitt Developments, a joint venture with St Modwen Properties, one of the leading regeneration specialists in the UK.
This partnership is developing the three phases of the St Matthew’s Quarter in Walsall town centre.