The Fabrix i2 closed-ended property fund has made its fifth acquisition in 12 months, a 15,808 sq m (170,000 sq ft) partly Victorian and part-1930s warehouse in the Limehouse area of east London, formerly used as a gin distillery, jam factory and wine warehouse.
The asset, at 23-24 Gillender Street, is located in the London Borough of Tower Hamlets’ Limehouse Cut Conservation Area on the River Lea.
Architect MVRDV has been appointed and a mixed-use scheme, possibly including stacked logistics and laboratories, is envisaged. The four-storey building has five-metre floor-to-ceiling heights so could suit a range of uses.
Fabrix said the site is strategically placed for access to the City, Canary Wharf and Olympic Park, and provides a gateway to the Lower Lea Valley and Bow.
The i2 fund was launched in 2017 and is one of five core mandates operated by investment manager and developer Fabrix across the UK and Germany. The mandates have a combined development pipeline in excess of 2m sq ft.
Fabrix has £100m dry powder but will raise extra capital in 2021
Following this acquisition, its ninth in total, the i2 fund has over £100m for further investment and Fabrix said it will be looking to raise further capital later this year. The fund is on course to deliver a 16% internal rate of return on a seven-year average hold period.
“At Fabrix we see immense value in retaining and working with historic buildings like these, both for local communities and cities at large,” said Fabrix CEO Clive Nichol. “We will revitalise the riverside site to develop a scheme rooted in sustainability and community, making a lasting contribution to the future of this part of East London and addressing some of the challenges our cities face.”
Levy Real Estate represented Fabrix on the acquisition.
In November 2020, Fabrix received unanimous planning approval for Roots in the Sky, which will convert the former Blackfriars Crown Court into an office, commercial and community space with a 1.4-acre rooftop forest of over 100 established trees.
Founded in 2016, Fabrix is a property investment and development business, specialising in bringing value to underutilised and overlooked urban spaces. Recent and current developments include: The Binary Building, London SE1; The Bottle Factory in SE1; former furniture warehouse Symes Mews, Camden; and the 100-year old Berliner Union-Film campus (Atelier Gardens) in Tempelhof, Berlin.