First joint venture acquisition confirmed today15 Dec 2023 07:21
The JV has acquired an asset in Stoke for a total cost of £5.28 million.
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* Lettable space of 15,489 sq.ft. over four units on an average rent of £18.87 psf, representing a net initial yield of 7.95%
* The units are leased to Costa Drive Thru, TGI Friday's, Nando's and wagamama, providing c.£408,000 of net operating income with a weighted average unexpired lease term of 11.6 years and 9.4 years including lease breaks
* 10% of the total projected net operating income will be indexed to RPI uplifts
* The site includes 239 car parking spaces within which there is scope to install a minimum of 12 ultra-fast EV chargers at no capital expenditure cost to the JV. These charging bays each have the potential to generate c.£4,000 annual income on a 20-year lease with annual RPI uplifts
* The JV is in ongoing negotiation on a number of further site acquisitions as it works to deploy the JV's equity commitment in assets that deliver sustainable returns for investors and valuable amenities to local communities.
A few more of these and the business is going to have considerable value attached to it....
Good luck, Brighty