The Bishopsgate Long Term Property Unit Trust Fund has completed its second and third acquisitions.
The fund, advised by Cordea Savills, has bought a Tesco food store in Stroud, Gloucestershire, for £29.2m – a 4.9% net initial yield. The sale and leaseback to Tesco is the third deal between clients of Cordea Savills and Tesco over the past three years.
It has also bought Helmont House in Churchill Way, Cardiff, for £23.2m – an 8% net initial yield. It comprises a Premier Inn Hotel and a refurbished multi-let office that is fully let to professional firms.
Since its launch last November, the fund has invested £85m, with a further £28m under offer, but still has capacity to deploy up to £200m this year.
Portfolio manager Patrick Lowther said: “The food store offers the Bishopsgate Fund an attractive 20-year lease with annual RPI uplifts. The Cardiff property offers a long dated inflation-linked lease to the hotel, combined with the asset management opportunity embodied in the higher-yielding offices. Both assets complement the fund’s recent purchase of a multi-let office building at 101 St Martin’s Lane in London.”
annabel.dixon@estatesgazette.com
