P&O Properties is selling the long leasehold interest in Grosvenor House, Sheffield, to Compco for £6m.
The 1960s building has a prime shopping frontage on Pinstone Street and other road frontages to Cambridge Street, Furnival Gate, Charter Square and Wellington Street.
The property comprises 26 shops, a basement bar, an 84-place car park and the Grosvenor House Hotel, which has 103 bedrooms and conference facilities.
The investment is held on a 150 year lease from December 1990 at a peppercorn rent, and will produce an income of some £625,000 by October this year. This sum will increase to £650,000 pa with the letting of the one vacant unit and from other fixed increases.
Tenants include H. Samuel, Halifax Building Society, Yorkshire Co-op, Alliance and Leicester Building Society, Mr. Minit, Northern Rock Building Society, Yorkshire Television, and Nottingham Building Society. The hotel, bar and car park are all let to Regal Hotels.
King Sturge’s Leeds office advised Compco and will be retained to manage the property. Jones Lang Wootton and Lane Walker acted for P&O.
EGi News 28/02/97
