MAG Property has sold the logistics facility at Airport City Manchester for £7.68 million to HPPUT.

Helix Property Advisors manages the HPPUT fund and its deal for the site reflects an initial 4.64% net yield, while Savills represented the vendor and ADS Real Estate acted on behalf of the purchaser.

DHL leased the 37,413 sq ft distribution warehouse, with a Deutsche Post SG guarantee, and is let to the company with 13.5 years unexpired on its lease.

The site’s annual income is £380,000 and incorporates the latest state of the art technology which is aimed to make the delivery firm’s operational processes as efficient as possible.

Once completed, the £800 million development at Airport City Manchester will include almost five million sq ft of hotel accommodation, advanced manufacturing, offices and, of course, logistics.

The DHL facility is situated at the south entrance of the flagship global logistics development.

MAG Property’s Development Management & Infrastructure Director, Jonathan Haigh, said that they are getting some positive momentum going at Airport City Manchester.

He added that this deal, which will divest the first finished building at Global Logistics, sees the scheme reach another milestone, along with a great calibre and depth of demand from investors.

Savills’ Investment Director, Peter Mallinder, said that the sharp yield and high interest levels achieved for the site shows how strong the appetite is for long income, well let products in the North West.

Mr Mallinder added that Savills are delighted to have achieved such a positive outcome for its client.

Construction began at Airport City Manchester in 2012 and is part of the expansion of Manchester Airport.

Manchester Airport will become the first city in the UK to build an airport city, with the aims of stimulating the area’s economy with on-site logistics, leisure facilities, office space and manufacturing sites.