FSP has recently completed the acquisition of a Birmingham bus depot on behalf of LondonMetric.
The property is located in the Birmingham suburb of Yardley Wood and comprises a bus depots and vehicle maintenance unit extending to 101,481 sq.ft on site totalling 3.26 acres.
The property is let for a term of 25 years from 21 December 2018 with annual reviews to RPI, collared at 2% and capped and 4%. The tenant on the lease is West Midlands Travel Ltd, guaranteed by National Express Group Plc. The total income is £306,221 per annum (£3.06 per sq.ft).
The property was acquired off market from LXI REIT plc for £6,775,000 which reflected a net initial yield of 4.24%.