ICG Real Estate spends £125m on portfolio, extends Vodafone’s lease

ICG Real Estate spends £125m on portfolio, extends Vodafone’s lease


ICG Real Estate has announced that its Strategic Real Estate team has purchased a portfolio of freehold digital infrastructure assets in Central London, which are let to Vodafone UK.

Upon the completion of the acquisition, ICG SRE and Vodafone have renegotiated the existing leases, extending them to 2048 and including RPI-linked increases.

Chris Nichols, head of Strategic Real Estate said: “Working in partnership with Vodafone, we engineered a solution which secured its long-term infrastructure, whilst generating an immediate value uplift for our investors.

“This is a clear demonstration of our ability to provide both certainty of execution and a solution for corporate occupiers. We look forward to working with Vodafone to asset manage and enhance the existing portfolio, whilst seeking to unlock additional mutually beneficial opportunities.”

The 260,000-square-foot portfolio comprises five data exchanges, predominantly located within Zone One.

The exchanges provide connectivity for Vodafone’s customers and is fuelled by the “rapidly increasing demand for data, broader digitalisation trends and new emerging technologies”, the firm added in a release.

ICG SRE is a pan-European strategy which specialises in working in partnership with corporates to acquire their mission-critical assets.

Typically, ICG SRE accesses its investments by way of long-term index-linked and primarily sale and leaseback acquisitions, which also provides corporates with an alternate form of finance.

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