Palmer Capital has bought a B&Q-let retail warehouse in Southampton for £40.4m from Invesco.
The price paid for the 115,913 sq ft property reflects a 6.6% net initial yield.
The property is located in Hedge End, five miles from Southampton city centre and is let to B&Q for another 10 years.
Charles Allen, acquisitions director at Palmer Capital, said: “This asset is a perfect match for our client’s income requirement and demonstrates their on-going commitment to the UK. This asset perfectly reflects our investment strategy of investing in high quality buildings, on long leases, let to strong covenants to deliver our investors attractive, low-risk income returns. We are actively seeking other similar transactions in 2018”.
Palmer was advised by Colliers International.
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