LONDON (Alliance News) - Ediston Property Investment Co PLC said Tuesday it has signed an agreement for a lease with B&M Retail Ltd in Hull, Yorkshire.
B&M has agreed to upsize its store in the Kingston Retail Park to a unit with 24,225 square feet from 10,271 square feet. The general retailer has agreed to move into the unit that was formerly occupied by Toys R Us who entered administration earlier this year.
B&M has signed a 10 year lease at an annual rent of GBP302,813 and will receive an incentive of 12 months rent free. FTSE 250-listed B&M will surrender its lease on its existing unit, which expires in 2021.
Director of Investment Calum Bruce said: "Identifying a tenant so soon after the demise of Toys R Us is positive, not just for the asset but for the out of town retail market as a whole. It proves that there is good tenant demand for well-located retail parks.
"Agreeing this letting secures a good covenant on a long lease, factors which improve the quality of the company's income stream. We are already looking for a new tenant to take the smaller unit and are working on a few leads."
Shares in Ediston were up 0.7% at 111.50 pence each Tuesday.