A Russell-Cooke inter-departmental team led by real estate partner Pieter Boodt has recently acted on behalf of Gypfor UK Ltd on the acquisition of a new 20 year lease of a bespoke industrial manufacturing facility. The facility is located on the South Dock at the Port of Newport in South Wales,
Gypfor UK Ltd is the UK subsidiary of Gypfor SA, a Portuguese plasterboard manufacturing company.
The agreement for lease was conditional upon the shell and core construction of the 150,000 square foot facility by the landlord. During the course of construction Gypfor directly procured the installation of bespoke plant and other equipment while the landlord’s works were carried out. The documents included detailed provisions dealing with co-ordination of the landlord and tenant works (including associated risk allocation), and provision for Gypfor to enter into a commercial agreement on completion, for the supply of cargo services by the landlord.
Estimated construction costs were in excess of £20 million and the gross rental commitment for the client is just under £12 million.
The Russell-Cooke team included partners Pieter Boodt and Robert Lusher from the real estate team; Peter Kitson with construction advice; corporate and commercial advice from Guy Wilmot and Lee Ranford assisted by associate Rebecca Stratton on insolvency advice.
The transaction also includes a parent company guarantee for Gypfor’s obligations, which involved co-ordinating cross-border advice from Gypfor’s Portuguese legal team at DLA Piper in Lisbon, on both tax and constitutional issues.
Pieter Boodt said: “We were originally instructed by Gypfor on this transaction in August 2019 and the agreement for lease was finally exchanged in January 2021, after various delays linked to Brexit and COVID uncertainty. It has taken a while but we are really pleased to have completed this complex transaction for this new client making its first foray into the UK.”
A link to drone footage of the finished factory is included below.