Scottish Widows buys Haymarket Towers for £26m

Scottish Widows has bought Haymarket Towers in Leicester from Invista Real Estate Management for £26.2m – an 8.79% net initial yield. Tenants include Barclays Bank, Marks & Spencer, New Look, JJB, Field & Trek and Superdrug. The parade totals 88,000 sq ft of shops and produces £2.4m pa in income. Separately, Gaia Property Investments has bought 1/6 Albion Street , 51/43 East Street and 4-6 Albion Street in Derby from Aviva Investors for £10m – a 10% net initial yield. Tenants include Dorsman Estates trading as Peacocks, Goldsmiths, Bay Trading, HMV, Birthdays and Orange on leases expiring between 2014 and 2019. The shops, which total 21,100 sq ft, produce a rental income of £1.32m pa. Tony Khalastchi’s Flowdrive has bought 82-84 St Anns Road in Harrow, Middlesex, from Aviva for £4.6m, representing an 8.4% net initial yield. The 10,100 sq ft No.82 is let to Mothercare on a lease expiring in 2013. No.84, which is 4,400 sq ft, is let to Tchibo on a lease expiring in 2017. The total income from both shops is £412,000 pa. A private client of Strutt & Parker and Christopher Dee & Co has purchased 2 – 6 James Street and 15 Station Square in Harrogate, North Yorkshire, from Credit Suisse, for £3.9m, equivalent to a 6% net initial yield. Tenants include Gap, Cath Kidston and Azendi on leases expiring between 2012 and 2018. The 9,300 sq ft property produces a rental income of £247,500 pa. Mike Rowlands, head of retail investment at Strutt & Parker, said: “The variety of lot sizes that have transacted demonstrates a comprehensive exposure to various investors and an ability to deliver at all levels. Q4 2009 should once again be active in this sector and I have every confidence the deals will continue to flow.”   Strutt & Parker advised Scottish Widows, Aviva Investors and the private client in Harrogate; CBRE advised Invista Real Estate Management and Gaia Property Investments; Ereira Mendoza & Co advised Flowdrive; Allsop advised Credit Suisse; and Christopher Dee & Co also advised the private client in Harrogate annabel.dixon@rbi.co.uk