Property investment manager Orchard Street Investment Management has bought a Tesco Extra store in northwest London from a joint venture between British Land and supermarket chain Tesco.
Property investment manager Orchard Street Investment Management has bought a Tesco Extra store in northwest London from a joint venture between British Land and supermarket chain Tesco.
The property was bought on behalf of a client for £61.86 mln (EUR 80 mln), reflecting a net initial yield of 5.5%.
Located close to the A406 North Circular and Wembley Stadium, the property comprises a 11,348 m2 purpose-built Tesco store with a 781-space car park and stand-alone petrol station.
The site is let to Tesco Stores for a further 23 years, subject to five yearly rent reviews, with a current rental income of £3.6 million per annum. In 2011 Tesco made substantial refurbishments and extensions to the store.
