Tesco & Greggs, 240 High Street, Pensnett, Dudley, DY5 4JDMake an enquiry
Franck-Steier Price has recently completed the acquisition of a new build retail investment for a private client investor.
The new build development comprised two single storey retail units fronting High Street, Pensnett, directly opposite Russells Hall Hospital. The scheme was let to Tesco & Greggs on 20 & 10 year leases respectively. The Tesco lease has breaks options at Years 10 & 15. Both leases have 5 yearly RPI reviews with caps/collars.
The combined passing rent was £61,400 per annum.
The property was purchased for a price of £880,000 which reflected a net initial yield of 6.60%, assuming purchaser’s costs of 5.8%. The vendor was represented by Johnson Tucker & Wright Silverwood.