FHP SELL INDUSTRIAL INVESTMENT IN MANSFIELD TO PENSION FUND

Investment News

Acting on behalf of Richard A B Saville and Peter A. Blair, the Receivers for Chek Whyte Industries, Fisher Hargreaves Proctor are pleased to announce the completion of the sale of the long leasehold interest in the above multi-let warehouse investment.

The property comprises 6 warehouse industrial units totalling 32,165ft² occupied by 4 tenants together with one vacant unit, constructed by Chek Whyte Industries in 2006. The vacant unit 3b is a self-contained unit of 3,270 ft². The property produces a current income of £136,415 per annum which will rise on the letting of unit 3b to £151,000 per annum. The tenants include Andrew Page Limited, Hertalan Ltd and Temati (UK) Ltd.

The property was sold for £1,400,000 which reflects a yield of 9.21%, after usual purchase costs and a reversionary yield of 10.21% on completion of the letting of Unit 3b.

Noel Roper, acting on behalf of the Receivers, commented that:-

“Because this was a receivership sale, it was particularly complicated in view of the fact there were outstanding overidge payments to be made to Mansfield Council together with a number of legal issues which had to be resolved before the sale could be completed”.

The property has been sold to CBRE Investors acting on behalf of Client’s of CBRE Investors. CBRE investors were represented by Franck-Steier Price LLP.

Ben Blackwall, Associate of FSP commented:-

“The property comprises a modern industrial estate which Client’s of CBRE Investors were able to acquire for a low capital value of £43.54 ft². The age of the units means that capital expenditure will be low in the short to medium term and there is a good tenant demand for units, which is evidenced by the recent letting of the last available unit.”

Laura West of FHP has been instructed to let the vacant unit and has agreed terms to let the unit for £14,700 per annum on a 5 year lease.

END

Noel Roper

Date: 13 December 2010 Tel: 0115 841 1132Email: noel@fhp.co.uk