Leading property consultants and chartered surveyors, Cluttons, has advised a fund management client on the freehold purchase of a property on Baker Street, London for £5.65 million, reflecting a net initial yield of 4.9%.
The period property stretches over several floors and comprises of four retail units, all of which are fully let and command a passing rent of £292,000 pa. The residential upper parts have been sold off on long lease.
The Baker Street building has a prime position in the Marylebone district of London’s West End and, although not listed, lies within The Portman Estate Conservation Area.
Ross Owen, head of investment and fund management, Cluttons, comments: “This purchase reflects a sound retail investment strategy for our client.
“The West End retail market is buoyant and we see good scope for rental growth here from a relatively modest rental base. This is a vibrant part of town with good footfall and the surrounding area is benefitting from significant investment in new mixed use developments.”
Cushman & Wakefield and Gosrani Investment Advisors advised the seller.
