Franck-Steier Price has recently completed the acquisition of a prime retail unit investment in Birmingham on behalf of CBRE Global Investors.
The property is located in a prime position on High Street, Birmingham adjacent to M&S, Levi and Primark’s new 150,000 sq.ft flagship store which is currently under construction.
The property comprises a 7,687 sq.ft building arranged on ground, basement and four upper floors. The property is let entirely to Greggs Plc for a term of 10 years from 25 January 2016. The lease is held on FRI terms with 5 yearly reviews to open market value. The passing rent is £175,000 per annum which reflects a low Zone A of £140.
The purchase price of £3,205,000 reflects a net initial yield of 5.13%, assuming costs of purchase of 6.48%.
The vendor was Royal London, represented by BWD.