Knight Frank has acquired a multi-let retail parade in Durham for £3,550,000 on behalf of Ward Group Investments.
Knight Frank Newcastle brokered a deal to purchase 1 – 7 North Road which is in a prime location within Durham’s retail core, opposite the newly-refurbished Riverwalk Shopping Centre.
The 23,000 sq. ft. prominent parade comprises one convenience food store, five retail units and a kiosk – all fronting onto North Road with tenants including Greggs, Hays Travel, Sainsbury’s and Bank of Scotland.
The investment generates a healthy yield of 8.25%, an annual income of £311,000 and was acquired for Andrew Ward of Ward Group Investments who is very active in the investment market in the North East currently.
Partner at Knight Frank, Dickon Wood said: “These shops are a fantastic investment opportunity. Eighty-percent of the total income is secured to low risk tenants and we know that the Sainsbury’s unit trades particularly well. There is also potential to convert the upper floors for alternative use, subject to vacant possession and planning permission.”
The purchaser, Andrew Ward, adds:” I`m delighted to have acquired this property which is opposite one of our existing holdings and offers a number of asset management initiatives for us to improve the income.”
The vendor, Halifax Pension Nominees Ltd, were advised by Green and Partners
Knight Frank LLP is the leading independent global property consultancy. Its Newcastle office has a 76-strong team who provide property management, office and industrial buildings agency, building consultancy, ratings and lease advisory and property valuations. The team is very proactive in the market, using its unrivalled access to the latest markets research to ‘know things first’. They are a friendly team that deliver a personal service.
