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The Charities Property Fund buys Leicester offices

30/02/2002

The Charities Property Fund has purchased the freehold investment interest in Unit 2, Bede Island North, Western Boulevard, Leicester for £2,535,000, representing a net initial yield of 8.25% with a reversion due in June 2003.

Ericsson Intracom Ltd occupies the 2,047.8 sq m (22,043 sq ft) offices on a 25-year lease, from June 1998, at a passing rent of £221,100 pa - equating to £109.08 per sq m (£10.13 per sq ft). This is subject to upward-only five-yearly rent reviews. A tenant only break option is available in the 15th year.

Savills Fund Management advised The Charities Property Fund and Milner Moffitt acted on behalf of the vendor, Kayaraya Limited, a private offshore trust.