The assets are at Crewe Toll, a mixed-used development to the north of Edinburgh City Centre at the gateway to the Granton Waterfront. They are part of a euro 358-million ($459-million) portfolio that BAE Systems transferred to its pension fund earlier this year in a bid to plug a euro 5.9-billion ($7.6-billion) deficit in the fund. The fund has now sold these through LaSalle, and the buildings have been let to BAE's Electronics Ltd. subsidiary. That lease, which expires in 2024, guarantees rental uplifts capped at 3% per annum. The current annual rental income from both properties is euro 7.4 million ($9.5 million).

"We will look to reinvest the money immediately into industrial assets and will also look at alternative sectors, such as car parks," says Julian Agnew, a director at LaSalle Investment Management, said.

Jones Lang LaSalle advised LaSalle Investment Management. Barrs Freer Smith and Steadman Brierley acted for the syndicate of private investors.