Confidential Client - Family-Owned Industrial Portfolio: Asset Management Strategy
Stage One: Complete
A family-owned transport business retained Frago & Co to prepare a comprehensive asset management strategy for a portfolio of six industrial and open storage assets located on a single estate. The portfolio extends to approximately 14 acres and 89,000 sq ft and performs a dual function: supporting the operational requirements of the business while generating income and long-term capital value.
The strategy addressed the full range of issues facing a family portfolio at a point of generational and commercial transition: income formalisation, covenant risk, capital recycling options, estate consolidation, operational relocation, and the structuring of a long-term investment platform. Tax, legal, and ownership considerations were framed across company and pension-held assets, with coordinated professional advice recommended before any transaction proceeds.
The portfolio currently generates income materially below its potential, with the majority of arrangements informal and unstructured. The strategy identified a stabilised income potential in excess of 150% above the current passing level, with a corresponding uplift in capital value under an active asset management programme.
Stage One
Stage One has been completed. Next steps are subject to generational family decision-making, with the strategy providing the framework within which those decisions will be taken.