FHP SELL 8 INCOME PRODUCING APARTMENTS IN THE AXIS BUILDING, NOTTINGHAM

Investment News

FHP are pleased to announce the completion of the sale of 8 apartments at The Axis, 43 Wollaton Street, Nottingham. The Axis forms part of an iconic development undertaken by Henry Boot of the former Co-operative Department Store on Upper Parliament Street/Wollaton Street. The fifth and sixth floors were acquired by Chek Whyte Industries in conjunction with another individual and converted to provide 19 fully furnished apartments.

David Hargreaves of FHP was appointed the LPA Receiver on behalf of Allied Irish Bank.

At the time of the completion of the sale 6 of the apartments were let fully furnished and 2 were vacant.

Due to the popularity of the development, 2 vacant apartments were let shortly afterwards.

The properties were sold under 8 individual under-leases for a term of 125 years from and including the 20^th December 2008 at a ground rent of £200 per annum each. Included in the demise was the benefit to park 8 vehicles in the adjacent car park under City Gate House.

FHP were able to achieve a price of just under £1.1 million for these apartments, representing a capital value of £135,000 per apartment, a discount for the open market of some 10-15%.

The purchasers, who were an overseas private individual, were represented by Simon Perkins of PWR Property Consultants. Noel Roper of FHP advised the receiver.

David Hargreaves who commented on the sale stated:-

“We were able to complete the purchase of this property after a relatively short time scale to an overseas buyer. The properties were realistically priced. The quality of the development therefore enabled the purchasers to complete lettings of the 2 vacant units shortly after completion.”

Simon Perkins of PWR comments:-

“Our client’s brief was to secure the purchase of a sought after development in the City Centre with a gross rental yield in excess of 7.5% and the Axis purchase was an ideal opportunity, as the apartments are finished to a high specification and they command a good level of rent”.

by Noel Roper of FHP throughout the negotiations.

END

NOEL ROPER
Tel: 0115 841 1132
Email: noel@fhp.co.uk

Date: 08 December 2010