Thorpe Park near Leeds has recorded its first investment deal.
Legal & General paid £5.6m for the long leasehold interest of a 2,370 sq m (25,500 sq ft) building let to Regus. The deal reflects an initial yield of 6.77%.
Regus is paying over £167 per sq m (£15.50 per sq ft) for the building on a 25-year lease.
Joint owners Severn Trent Property and GMI plan to develop up to 167,200 sq m (1.8m sq ft) of space at the park situated six miles east of Leeds.
Andrew Dunkley, investment partner at L&G’s agent Cluttons, said: “Thorpe Park will become the dominant business park of the north. By entering at an early stage and buying a building with such a strong covenant, L&G should get the maximum possible returns from its investment.”
DTZ Debenham Tie Leung represented Thorpe Park (Leeds).
EGi News 18/05/00
