Birmingham-based Real Estate Investors has completed the purchase of a Midlands retail and office portfolio for £22.23m – a net yield of 8.22%.
The properties produce a total annual rental income of £1.9m and include offices let to NPower in Oldbury, Sandwell, and offices occupied by The Midcounties Co-operative Society in Kingswinford, Dudley.
The deal also includes shops let to Matalan, Argos, Next, Shoezone and Pizza Hut in Tunstall, Stoke-on-Trent.
REI chief executive Paul Bassi said: “Prime Birmingham city centre has seen significant yield compression and we are beginning to see similar pressure on property values throughout the region, in particular in prime locations in town centres and well-let modern office schemes.”
