This substantial property occupies a prime corner location at the junction of High Street and Bedford Street comprising a modern building arranged over basement, ground and three upper floors totalling approximately 45,000 ft.².
It is let to two tenants. H&M on a lease expiring June 2038, at a passing rent of £740,000 per annum which is indexed to RPI every five years, together with Barclays bank expiring in June 2025, at a passing rent of £450,000 per annum. The tenure is leasehold paying for a term of 135 years from June 2005 at a peppercorn. The passing rents are aligned with the open market rental value.
The sale price of £23.5m reflects a net initial yield of 4.75% overall or 4.5% to the High Street and 5.25% to Bedford Street. KLM Retail were delighted to have advised UKCP REIT on the sale.