Craigard successfully sells Littlehampton site for £1.6million
Craigard Investments is delighted to announce that it has sold its Littlehampton industrial estate at Minster Court to IO Investment LLP at a price of £1.6 million.
Craigard acquired the property at in June 2010 for £1.25 million. At the time four of the ten units were vacant with a number of forthcoming breaks and expiries.
Craigard and its managing/letting agents, Marshall Clark of Worthing, significantly re-furbished and upgraded the estate – new signage, planting, external maintenance and refreshed marketing brand .
Following this, one unit was sold to an occupier at a price of £75 per sq ft and the remaining three vacant units were let, mostly to local companies, at rents of around £5.50 per sq ft. All of the existing companies stayed in occupation choosing not to exercise the break opportunities.
At the date of sale, like for like income stream had been increased from just under £113000 per annum to just over £160000 per annum for the remaining nine units. Inclusive of the occupier sale Craigard’s investors saw capital receipts of £1.83 million against all in purchase costs of £1.3 million plus a double digit income yield in the interim.
Paul Foster, manager partner of Craigard Investments LLP, commented, “We are absolutely delighted at how well Minster Court has performed for us over the last two and a half years. When we bought the property, we saw the potential albeit we recognised the risks with the vacant units and breaks. We have worked hard with our agents and tenants and have seen some real success stories. Likewise the underlying quality of the estate and our realistic pricing has allowed us to secure new tenants within a very realistic timescale. We wish IO well with their acquisition- there is still plenty of opportunity to improve and enhance the estate and our only reason for selling is that we had a three year business plan with which we wish to deliver for our investors.”
Deloitte Real Estate acted for Craigard. Stiles Harold Williams acted for IO.