Legal & General sells retail warehouse in Southampton to B&Q
Legal & General has sold the Freehold interest of the B&Q Warehouse in Hedge End, Southampton to B&Q for £32m reflecting an initial yield of 4.93%.
The unit is 9,110 sq m (98,060 sq ft) with 420 car parking spaces and is let to B&Q Plc at a rent of £17 per sq ft with the next rent review effective from September.
The unit benefits from a non-food planning consent and is located close to major Sainsbury's and Marks & Spencer stores.
Helen Gordon of Legal & General said, "we are pleased to have secured what is an excellent price for this asset”.
David Childs of B&Q Properties said, "Hedge End is one of B&Q’s top stores in the south of England. We have plans to invest in improvements to the store and controlling the freehold will help to facilitate this.”
CB Richard Ellis represented Legal & General Assurance Society Limited and B&Q Properties Limited were advised by Edgerley Simpson Howe.