European asset management firm Infinium Logistics has bought an EV charging facility let to Amazon in Banbury for £28m from Paloma Capital.
The deal is the second site acquired by the firm, which claims to be the world’s first dedicated EV fleet charging real estate fund.
Located in central Banbury, the site comprises a 200,000 sq ft warehouse operated as a 588-space EV-ready fleet parking facility let to Amazon as well as a Starbucks drive-thru.
Paloma Capital acquired the asset in 2018 for £5m and subsequently invested a further £9m in the project. The development involved the refurbishment of the existing warehouse building, as well as the redevelopment of an obsolete office building into a 250-space car park on the adjoining factory site – releasing a further 4 acres to accommodate an EV charging yard and a Starbucks drive-thru. The asset now produces an income of £1.54m each year.
The news comes as Infinium looks to build a £500m portfolio of assets including investment in FleetHubs – a sustainability-focused asset class which combines commercial real estate and low carbon energy infrastructure. The platform’s first major investment was in Swindon, and it currently has an pipeline in advanced discussion through which it looks to develop a portfolio of electrified FleetHubs in key industrial locations across Europe.
Joe Froud, Co-founder of Paloma Capital, said: “We are really pleased to have not only devised an imaginative “low carbon” re-purposing of the original building, but also ultimately ended up creating a substantial EV charging park, assisting Amazon with the de-carbonisation of its delivery fleet.”
Tom Gough, Investment Director, Infinium Logistics, said: “This acquisition demonstrates our ability to think outside of the (big) box and transact in a period of general market uncertainty. We look forward to working with market participants to acquire additional c.5-acre sites near major urban centres where we can develop specialised van-charging infrastructure that enable our tenants to transition to electric vehicles.”
Phil Bayliss, CEO of Europe, Infinium Logistics, said: “This addition to our growing portfolio encapsulates Infinium Logistics’ ambitions to decarbonise, electrify and optimise the last mile delivery sector. This site provides critical EV infrastructure that will accelerate the transition away from ICE vehicles whilst also optimising and improving Amazon’s operations in the area.”
Image courtesy of Infinium Logistics