Creston plc has sold the freehold of 366-368 Shirley Road, Southampton to Consolidated Property Investments Limited for £3.1 million to reflect a net initial yield of 8%.
The Post Office occupies 2,136.7 sq m (23,000 sq ft) on a 20-year lease at £200,000 pa while the 2,136.7 sq m (23,000 sq ft) first floor is let to Fitness First plc for 25 years at £60,000 a year. Tom King, managing director of Creston said: The property was formerly occupied by MFI with whom we agreed a lease surrender before reletting the space. The sale price shows a considerable surplus over book value.
Booker Group Property has sold its former Delivered Food Service warehouse at Battle Road, Heathfield, Newton Abbot, Devon to RD and S Hills trading as West Country Meats for £450,000.
The warehouse, which comprises offices of 436.9 sq m (4,703 sq ft), cold storage of 452.9 sq m (4,876 sq ft) and a loading canopy of 174 sq m (1,875 sq ft) is on a site of 0.446 hecetares (1.1 acres). The purchase was made by West Country Meats to facilitate a supply contract with Abbeyvale Bakeries which took another former Booker warehouse on the estate.
Star Properties, a subsidiary of MEPC, has started work on site this week to develop its 5,736 sq m (61,748 sq ft) two-level leisure scheme in Wood Green, London N22.
The 0.47ha (1.16 acre) site is located in a prominent position, directly opposite Wood Green underground station. This £13 million town centre development is already 84% prelet to Hoyts Cinemas, who have leased the 1,650-seat cinema unit, Yates Wine Lodges, JD Wetherspoons and Nando’s and will be completed by the end of 1999.
The new development has been made possible by two further acquisitions, including one from the local authority, which has worked closely with the developers over the last few months.
MEPC has completed the leasing of 6,746 sq m (67,240 sq ft) of refurbished offices on four floors at 90 Long Acre, a landmark 18,360 sq m (197,625 sq ft) office building located at the junction of Long Acre and Endell Street in Covent Garden, London WC2. Capital International will occupy 973 sq m (10,472 sq ft) on the seventh floor at a rental of £484 per sq m (£45 per sq ft).
Camus International have taken part of the lower ground floor, extending to 137 sq m (1,480 sq ft), at a rental of £280 per sq m (£26 per sq ft). Both new tenants have taken 5-year leases. This completes the letting of all the available space vacated by the First National Bank of Chicago in early 1998.
Since that time, MEPC has carried out an extensive refurbishment of the four vacated floors, as well as re-modelling the entrance hall. In November 1998, communications company the NTL Group Ltd agreed a 15-year lease for the 2,480 sq m (26,703 sq ft) first floor at £457 per sq m (£42.50 per sq ft). This letting was shortly followed by agreement with Regus for the upper ground floor of 2,286 sq m (24,600 sq ft) and Asticus who have taken the 8th floor of 370 sq m (3,985 sq ft). Regus agreed a 15-year lease at £450 per sq m (£41.86 per sq ft) and Asticus agreed a 15-year lease at £511 per sq m (£47.50 per sq ft).
Nathan Thompson, head of MEPC’s office sector, comments: We are delighted to have completed the refurbishment and let all the vacated space in such a short period of time, proving that good quality office accommodation in a prime central London location is still very much in demand. By and large authorized property conveyanceror property legal lawyers are managing the purchasing, offering and selling matters of the properties.