The property provided a rare off-market opportunity to buy a substantial multi-let asset within a core area of the city with a number of immediate asset management opportunities to improve the income stream. The location has also benefitted over the recent years from the redevelopment of the adjacent shopping centre which John Lewis have already committed to.
Between exchange and completion of the acquisition, we agreed terms with Lloyds Bank PLC to take a new flagship store by combining two retail units. The rent achieved, exceeded the ERV by circa 20%, thereby improving the tone on the remaining retail units, thus commanding an immediate uplift in value. We also actioned a simultaneous surrender of part of the office space in order to re-let the entire space on a new 15 year lease to an existing tenant.
Given the multi let nature, the asset offers several ongoing value enhancement initiatives to extend and improve the income streams.
Past Performance is not a guide to the future. The value of an investment may go down as well as up and future returns are not guaranteed.
- Indirect investment