Addington Capital has sold a mixed-use retail and office property in Cheltenham to Picton (UK) for £5.3m.
The property at 109-117 High Street in the heart of the town centre is owned by a joint venture managed by Addington, which acquired the property in 2015 as part of the Retail Plus General Partnership.
The building has undergone an extensive redevelopment with the previously redundant upper floors converted to modern office space and the retail space refitted.
It is fully let to Just Go Holidays, which occupies 11,193 sq ft of office space over two floors, with Tesco, Dodo Pizza and Barnado’s occupying the property’s retail space. The building generates a current net income of £409,699 per annum with fixed uplifts in the leases to take the income up to £511,798 per annum.
David Dalrymple, partner at Addington Capital said: “After a redevelopment of the building followed by a successful leasing campaign, we have re-purposed this tired, old high street building to provide a contemporary office and retail space in the centre of the town which has attracted some strong tenants. It is now the right time in the portfolio’s cycle to sell and we are pleased to have found a strong purchaser. Cheltenham is a thriving regional town and the demand for quality real estate continues to grow.”
KLM advised the vendors on the deal.
