Craigard Raises the Bar
Craigard has secured the acquisition of 17 Above Bar in Southampton from West Sussex County Council Pension Fund.
The property was acquired for £1 million and sits in a prime pitch in the centre of Southampton. The ground floor is let to John Anthony, a men’s wear retailer, and the first floor is let to Ocean Dragon, a Chinese restaurant. Total rental income is £167000 but 15% of income is paid to Southampton City Council who own the freehold.
Initial yield therefore represents some 13.4%.
Paul Foster Managing Partner of Craigard Investments commented ‘This Unit is immediately adjoining a major Boots store in the pedestrianised section of a major regional centre. To acquire it at this figure is very compelling in the context of historic pricing levels. We are aware that the income is short term but we have every confidence that this retail unit, which is very well configured and in a prominent spot, will be attractive to any retailer at any stage of the market’.
Molyneux Rose acted for Craigard. Buchanan Bond for West Sussex.