DVS Property has sold two Audi showrooms in Nottingham and Bury St Edmunds for circa £12.5m.
The 30,242 sq ft Nottingham showroom, which is let to Volkswagen until 2058 with a tenant break in 2033, was acquired by its sub-tenant for £7.72m, in a deal reflecting a net initial yield of 7.25%.
The Bury St Edmunds Audi showroom on Skyliner Way was sold as a freehold investment to a southern-based property company for £4.8m (6.85% NIY). The showroom provides 22,345 sq ft of space and is let to Volkswagen until 2033.
Allsop, which sold the showrooms for DVS, is marketing the freehold of a third Audi site in Liverpool. The 28,655 sq ft car showroom is let to Volkswagen until 2058 with a tenant break in 2033.
Liam Stray, senior associate at Allsop, said: “These assets proved attractive to a range of prospective purchasers because of their quality and the potential to deliver long-term value, whether as a long and stable income-producing asset or, as an owner-occupier, business sustainability.
“With a third prime automotive investment currently being marketed in Liverpool, as well as others potentially coming from the same portfolio, we anticipate competitive interest particularly from investors seeking to diversify their real estate portfolios into the alternatives sector.”
