Department store chain House of Fraser has completed a sale and leaseback on two stores it acquired as part of its takeover of a rival chain James Beattie.
The group has sold its freehold interests in its Wolverhampton store in the West Midlands and Birkenhead store in Merseyside to two separate parties for a total of £56m, reflecting an initial yield of less than 4.7%.
House of Fraser has taken a new 35-year lease on the Wolverhampton store and a new 20-year lease on the Birkenhead store, both on normal commercial terms.
Proceeds from the sale will be used to reduce group debt.
References: EGi News 27/01/06
