Peugeot Distribution Facility

MK2 have recently advised on an off market acquisition on behalf of CCLA.

The distribution facility comprises 618,442 sq ft over 2 main buildings on a site of 34 acres.  Let to Peugeot Motor Company Plc for 14 years at a rent of £1,482,300 pa.  The rent is reviewed every 3 years in line with RPI index subject to a cap of 4.00% and a collar of 2.00%.  The rent is considered to be significantly below current open market rental levels.

Purchased for £20,000,000 reflecting a net yield of 7.00% and a capital value per sq ft of £34.21.

The vendor was Henley Properties.