TWO45 Business Park, located in the prestigious Preston area of Lancashire, UK, has been sold for €11.1 million (approximately £9.4 million) in a commercial transaction that underscores the sustained investor interest in regional business real estate. The sale of the property, which includes modern office and industrial spaces, marks a significant event amidst heightened activity in the commercial property market of Northern England in 2025.
Property Overview
TWO45 Business Park is a high-quality, multifunctional commercial complex with a total lettable area exceeding 6,500 square meters. The park includes office buildings, logistics and production facilities, as well as ample parking infrastructure. Its strategic location near the M6 and M65 motorways makes it especially attractive for tenants involved in logistics, distribution, and IT services.
The park was designed with modern energy efficiency standards in mind, featuring solar panels, smart lighting systems, enhanced insulation, and electric vehicle charging stations. These features have made it particularly appealing to tenants striving to meet ESG (Environmental, Social, Governance) criteria.
Deal Details
The transaction was concluded between a private developer, who had owned the park since 2018, and a London-based commercial property investment fund, whose identity remains undisclosed due to confidentiality agreements. According to the seller’s financial advisor, the property attracted strong interest during the initial marketing phase, allowing the deal to close within just three months.
The acquisition was completed without the use of mortgage financing, indicating strong liquidity on the buyer’s part and confidence in the future profitability of the asset. The rental yield is estimated at around 6.5% annually, making the investment particularly appealing amid elevated inflation and uncertainty in the banking sector.
Tenancy and Occupancy
At the time of the sale, the property was 92% occupied, with key tenants from the logistics, digital technology, and engineering sectors. Lease agreements average between 5 to 7 years, providing a steady cash flow and reducing investment risk.
Notable tenants include:
- NorthWest Digital Ltd – An IT firm occupying around 1,200 sq. m.
- EcoTransport Logistics – A regional logistics company leasing warehouse space.
- Fusion Engineering – An engineering office with a lease extending until 2031.
This diversified tenant mix highlights the business park’s solid position within the local economy.
Commercial Property Market in Lancashire
Lancashire’s commercial real estate market is exhibiting positive momentum. Since the beginning of 2025, transaction volumes in this sector have increased by 14% compared to the same period last year. The consistent demand is driven by several factors:
- Lower rental rates compared to cities like Manchester and Liverpool.
- Well-developed infrastructure and proximity to key transportation routes.
- Support from local authorities for tenants and investors under regional development programs.
According to Savills, average rental rates for B+ class office spaces in Lancashire are around €155 per square meter per year, which is 30–40% lower than in Manchester, but showing an upward trend.
Market Significance
The sale of TWO45 reflects growing institutional interest in regional assets with stable yields. With the Bank of England’s key interest rate at 5.25% in 2025, investors are seeking properties that offer predictable rental income and low operating costs.
Analysts note that such transactions signal a “decentralization” of capital away from overheated markets like London and Birmingham, in favor of more affordable and stable regions. Particularly favored are properties with long-term tenants and green-certified features.
Stakeholder Comments
A representative of the seller commented:
“TWO45 was a core asset in our portfolio, and we are proud to have delivered value through upgrades and sustainability improvements. We believe the new owner will continue the park’s success story.”
The buyer’s representative added:
“We view TWO45 as a long-term investment. It aligns with our ESG strategy and investment goals—strong cash flow, high occupancy, and potential for future growth.”
Future Development Plans
The new owner has announced plans to partially convert one of the buildings into coworking space and implement a digital energy monitoring system. This reflects a shift toward “smart office” models, which could attract startups and service-oriented businesses.
There is also discussion of adding more solar panels and upgrading HVAC systems, which would reduce the park’s carbon footprint and increase its appeal to ESG-conscious tenants.
Conclusion
The €11.1 million sale of TWO45 Business Park in Lancashire illustrates the robust demand for regional commercial property in the UK. With high occupancy, sustainability upgrades, and strategic location, the property is attractive to both tenants and funds seeking stable income and ESG alignment.
The entrance of new investors into the UK’s regional markets highlights a broader shift toward resilience, diversification, and technological innovation. The sale of TWO45 is not just a transfer of ownership—it reflects new real estate strategies where sustainability, flexibility, and long-term thinking are paramount.
