A 51,000 sq ft Morrisons in Crawley, West Sussex, will lead Acuitus’s next auction.
The lot (pictured), which is one of 48 to feature in the 22 September auction, is being offered with a guide price of more than £8.7m.
The store is let until 2037 with no breaks and 2.25% annual rent uplifts. The annual rent is £489,792 which will increase to £500,812 in April of next year and the property is currently sublet to Poundland, Superdrug and Iceland.
Charlie Powter of Acuitus said: “Given the location, lease length and covenant, we’re expecting substantial investor interest in this asset. Household retailing proved to be resilient during the pandemic and will be in the challenging economic conditions we are facing.”
Elsewhere in the sale, a trio of Halfords-leased car servicing centres in Birmingham, Bolton and Manchester are available, with guide prices ranging from £750,000 to £1.25m. All three properties are let until 2036, without breaks, with annual uncapped RPI-linked rent reviews.
David Margolis, investment director and auctioneer, said: “Despite the geographical spread of these three properties, they all share the same occupier, length of lease and the annual uncapped RPI-linked rent reviews that will prompt investor demand.”
The auction also features a freehold warehouse investment in Swinton, Manchester, which has seven years to run on a lease with current annual rental income of £125,000. It is being offered with a guide price of £1.9m-£2m.
A purpose-built Royal Mail distribution centre in Queen’s Drive, Kilmarnock, that produces an annual rent of £95,500 is also included in the sale with a guide price of £1.1m-£1.2m. The lease on the 18,424 sq ft property was renewed in November of last year, at the same rent, for a term of 10 years with a tenant break option in the fifth year.
“The final quarter of each year is when property investors focus on shaping their portfolios ahead of the year-end,” said Acuitus chairman Richard Auterac. “As a consequence, it is an extremely active investment period and we expect this to be reflected in the auction room.”
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