TELFORD TOOLSTATION WAREHOUSE SOLD FOR MORE THAN £280,000
A Telford warehouse has been sold to a private investor for more than £280,000.
Investment specialists at property consultancy Harris Lamb oversaw the deal, which saw the Stafford Park 4 trade counter unit occupied by Toolstation sold to a private investor.
Becky Thomas, of the business’ Agency team, marketed the vacant unit and agreed a 10-year lease with the tool retailer in February, before the investment team was instructed to place the 5,058 sq ft facility on the market.
Becky said: “I have been involved with this property since 2012 when I originally negotiated a tenancy to occupy the industrial unit. When this tenant vacated in 2015, we returned to the market on a for sale basis. Following a number of freehold offers which failed to complete, I approached Toolstation, who were in the market, with a view to constructing an investment sale.
“Due to the lack of prominent, front-of-estate units meeting the business’s requirements, Toolstation Ltd agreed letting terms including landlord works to improve the unit and allow for their own fit-out. It may have been a lengthy process, but it has ultimately achieved a good investment sale for a long standing client,” she said.
Alex Eagleton, of Harris Lamb’s Investment team, added: “This sale is the latest in a series of industrial investments we’ve overseen as investors seek opportunities within the sector outside London.
“There has been a high demand for industrial opportunities in the past 12 months as investors are keen to enhance their portfolios with sites occupied by secure, stable tenants.
“This particular opportunity was of a high calibre thanks to its very low-risk covenant. Toolstation has invested in a substantial refurbishment at the 5,058 sq ft site since signing the lease earlier this year, and an initial rent of £22,500 per annum was agreed with a tenant break option at the end of the seventh year.
“The long-term security of the site, teamed with Stafford Park 4’s access links, by way of the M54 and M6, made this an attractive opportunity, and we weren’t surprised b the high levels of interest it received.”
The team was instructed to place it on the market with a guide price of £280,000, and further to high levels of interest from prospective buyers, a sale was agreed for £287,500, representing a Net Initial Yield of 7.59%.