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

December 2019

Volvo, Bluebell Way, Preston, PR2 5PZ

Screenshot 2019-09-24 at 10.00.00

The property comprises a new build prime car dealership investment located in the established car dealership area of Preston, 3 miles to the north of the city centre.  Situated on Bluebell Way the property occupies an extremely prominent site overlooking Junction 31A of the M6 and adjacent to the new Inchcape flagship Jaguar LandRover dealership.  The property will extend to 19,375 sq.ft on a site of 1.73 acres.  Practical completion of the property is scheduled for December 2019.  Let to the excellent covenants of Rybrook Cars Ltd with a guarantee from Rybrook Holdings Ltd, one of the UK’s largest independent car franchises.  To be let on a 20 year lease from Practical Completion with 5 yearly upward only reviews to the higher of OMV or CPI collared at 1% and capped at 2.5% per annum compounded.  Commencing rent of £300,000 per annum.  Offers sought on a forward commitment basis in excess of £5,360,000 which reflects a net initial yield of 5.25%.  Based on CPI of 2.5% per annum at this price the running yield will revert to 5.92% in year 5, 6.72% in year 10 and 7.60% in year 15.