Grosvenor has moved into the UK industrial market via an indirect investment in John Sims’ Industrial Ownership. Sims is relaunching his I.O. Asset Management business, which he sold in 2007, by setting up a fund called I.O. Investment with capital from Grosvenor for a £35m investment programme.
Sims’ and partner Angus Scott Brown’s business model is to buy multi-let industrial estates and business parks and sell individual buildings to occupiers that often buy through self-invested pension schemes.
“The timing is right and we are starting in a relatively modest way,” said Sims. “I share Grosvenor’s view that returns will be indifferent for a few years except where one can create growth that offers opportunity.” Grosvenor appointed Chris Taite to head its indirect investments 16 months ago.