Frank-Steier Price Ltd. Leading niche commercial property investment practice Logo for Midlands Property Awards 09

July 2018

TJ Vickers & Sons, Knights Way, Battlefield Enterprise Park, Shrewsbury, SY1 3AB

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under offer

The property comprises a modern car dealership investment situated on Battlefield Enterprise Park in Shrewsbury.  The property extends to 16,770 sq.ft on a site of 1.01 acres.  Let to TJ Vickers & Sons Ltd until 30 September 2030 (tenant break 30 September 2025).  Low passing rent of £120,000 per annum.  Rent reviews 5 yearly to the higher of open market value or compounded RPI, collared at 2% and capped at 4% per annum. Offers sought in excess of £1,675,000 which reflects a net initial yield of 6.75%.

Franck Steier Price has recently completed the sale of a modern car dealership investment in Shrewsbury.

Acting on behalf of a private investor, FSP sold the investment to Custodian REIT for £1,675,000.

The property is let to TJ Vickers and Sons Ltd for a term of 15 years with effect from 1st October 2015 and is subject to 5 yearly rent reviews based on the higher of open market or RPI with a collar of 1% and cap of 4%.  The current passing rent is £120,000 per annum.

The sale price of £1,675,000 reflects a net initial yield of 6.75% assuming costs of purchase of 6.19%.

CBRE acted for Custodian REIT.