Surprisingly, the building had failed to sell at auction which presented Craigard with an excellent opportunity
Surprisingly, the building had failed to sell at auction which presented Craigard with an excellent opportunity. Subsequently, an approach was made to buy the asset and a deal was agreed at £1.4million, reflecting 8.23%.
Over the duration of our ownership, we successfully implemented a number of asset management initiatives. This included agreeing a deed of variation with the tenant to remove their break, settlement of the rent review, and funding 50% of the cost of a new roof which significantly improved the overall building quality.
The asset was sold for £2,710,000 reflecting a 4.69% NIY. Timing of the sale was also opportune in a market that was quickly reacting to PM Liz Truss’ shock mini budget.
Over the hold period, which was circa four years, investors received an 80% profit on their original stake, as well as distributions received throughout.