9th Sep 2014 07:03
LONDON (Alliance News) - Picton Property Income Ltd Tuesday said it had bought a freehold city centre retail property in Peterborough, Cambridgeshire for nearly GBP9.1 million, reflecting a net initial yield of 6.5%.
In a statement, the company said the property totals 89,000 square feet and comprises two prime high street retail units let to TK Maxx and New Look until 2020 and 2021, respectively. It produces an annual rent of GBP625,000, reflecting a low average overall rent of GBP7.00 per square foot, which is subject to review in 2015 and 2016.
"We were attracted to this asset due to a combination of factors, including the strong population growth within Peterborough, the property's core location, the flexibility of the units and the low overall rental levels which are subject to review over the next couple of years," Chief Executive Michael Morris said in a statement.
Picton Property has now made over GBP81 million of acquisitions during the course of this year, and the latest acquisition uses up the remaining funds allocated for acquisitions from its GBP35 million placing and subscription offer in May.
By Steve McGrath; [email protected]; @stevemcgrath1
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