Real Estate Investors plc, the West Midlands based property group, has snapped up office buildings at Apex, Edgbaston, Birmingham, for £1.690 million in cash.
The two office buildigns of 17,420 sq ft let to Lombard North Central (NatWest) and Royal London Life producing annual rental of £353,502 on leases expiring in December 2015, representing an initial yield of 20 per cent.
The properties were acquired from the receivers acting for the mortgagees Capita Asset Services (London) Ltd. The vendors purchased the properties in March 2005, paying £4.525 million.
The Grade A offices offer headquarters-standard accommodation and occupy a prominent position at the corner of Harborne Road and Calthorpe Road, directly opposite the new Morrisons development at Five Ways.
REI chief executive Paul Bassi said “REI continues to benefit from having established ‘preferred buyer status’ among receivers, distressed vendors and corporate agents.
“The new acquisitions provide excellent initial income and numerous asset management opportunities. The existing portfolio remains stable and secure.
“We have a number of other potential purchases in advanced discussions, and in excess of £250,000 per annum. in new rental deals in legals . The board looks forward to announcing its inaugural dividends later this year.”