X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

LONDON-Amsprop, the property investment vehicle for electronics entrepreneur Alan Sugar, has paid £3.825 million ($5.5 million) for the virtual freehold interest of a mixed-use investment at 10/10A New Bond Street, London W1. This is his second Bond Street purchase, after buying 6-8 Old Bond Street last year for £25 million ($36 million).

The new property consists of two shops with two floors of offices and three floors of residential above, providing 3,109 sf in total. The space is leased to Pension Management (SWF) for 25 years from 1997 at a current rent of £145,000 per annum, subject to a rent review in September 2002.

The purchase price reflects an initial yield of 3.58%, but on the assumption that the rent review will achieve £420 ($610) per sf zone A on the retail space the reversionary yield will rise to over 5%.

Cushman & Wakefield Healey & Baker acted for the vendor, the City of London Corporation, and Partner Clive Bull said: “This deal is yet another example of the enormous demand by private investors and funds who desire a foothold on Bond Street. There was exceptional private investor demand, with approximately ten underbids in excess of the asking price.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.