Strutt & Parker - Bradford, Canal Road, Bradford

Date: 08 Jul 2010

Car showroom sale in Bradford for £7.3 million with yield of 7.4%.

Lancaster Plc, advised by Strutt & Parker, has sold the freehold interest in the Jaguar and Ford car showrooms on Canal Road, Bradford, to the Axa P&C Fund for £7.31 million, reflecting a blended net initial yield of 7.4%

The site, which is 5.42 acres, is prominently located on Canal Road half a mile north to the city of Bradford and includes two separate dealerships, Polar Ford, a subsidiary of Ford Retail Ltd, and Lancaster owned Appleyard Jaguar. Details as follows:

* The Polar Ford dealership consists of a modern showroom and workshop totalling 35,643 sq ft and is let on a lease to Ford Retail Ltd expiring in December 2024, producing an annual rental income of £383,230 which equates to £10.75 per sq ft, with rent reviews to market rent.

* The Jaguar property, which totals 15,846 sq ft, has been leased back by Lancaster plc for a term of 20 years from the date of completion, at a rent of £190,000 per annum which equates to £11.99 per sq ft, with inflation linked rent reviews.

Bill Bexson, retail consultant to Strutt & Parker adds:
"There continues to be increasing interest in this property sector which can offer long lease terms with minimum uplift reviews commonly in prime main road locations.

Hoddell Stotesbury Morgan represented Axa.

Jaguar and Ford car showrooms on Canal Road, Bradford

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