08 April 2016
Private equity group Investra Capital has bought a Tesco Superstore in Farnworth in Lancashire, for €26,6m on behalf of Private Middle Eastern Clients, The property was bought from PACE Trustees, clients of LaSalle Investment Management.
The 75,646 sq ft Tesco Superstore occupies a prominent position near the town centre at the junction between Long Causeway and Albert Road (A575) leading south to Walkden and the M60. It is alsi in proximity to the M61.
The Lease has an unexpired team of 20 years with five-yearly rent viewers linked to RPI with a cap of 5% annually compounded, At the April 2016 rent review, the yield will reflect 5.90%.
Martin Waller, MD of Investra Capital said: "Our Investors continue to see UK Property as a safe haven, The asset worked for a number of reasons particularly with regards to the face there is guaranteed rental performance and the unexpired term is 20 years to an institutionally acceptable covenant are committed to the store. We have also secured favorable debt terms on the asset which enhances return further"
The deal takes Investra's acquisition total, transacted over the past year, to in excess if €100m and they have over €200m worth of property under management.
GL Hearn acted for Investra