Jacobs Holdings has sold the Kingsway Retail Park, off the Derby ring road in Derby, for £12.642m to an offshore investment company. The deal reflects a yield of 7.8%, which will rise to 8.5% on completion of the final rent free period.
Tenants on the 12,859 sq m (133,418 sq ft) estate include B&Q, Carpetright, Powerhouse and Comet. With the termination of Carpetright’s rent free period in two months’ time, the investment will produce £1.078m pa. All tenants’ leases run for 25 years with no breaks and five yearly upward only rent reviews.
Construction of the first phase of the park was completed in 1992, the second in 1994. The most recent phase was finished last September.
EGi News 01/07/96
