Rockspring Property Investment Managers has agreed a £14.4m forward funding of 71 / 77A St Peter’s Street, St Albans, to Knight Frank Investment Management.
The deal was on behalf of Rockspring’s Retail Plus Property Trust to Knight Frank Investment Management’s client, Lancashire county council.
Rockspring has pre-let 85% of the proposed scheme to Premier Inn for a 123-bedroom hotel and to Metro Bank. The remaining two shops will be let during construction.
The Premier Inn lease is for a term of 25 years with a tenant’s option to break at the 20th year. Metro Bank has taken a 25-year lease, subject to a tenant’s option to break at the 10th year.
The development is expected to provide more than £925,000 pa once fully let.
Larraby Land and Kitchen La Frenais Morgan advised Rockspring.
Annabel.Dixon@estatesgazette.com
