Leicester firm swoops for Nottingham drive-thru site
A newly-developed Starbucks drive-thru in Nottingham, which was granted planning consent earlier this year, has been sold to Leicester-based Custodian REIT.
The site is a the main arterial route into and out of Nottingham city centre on Queens Drive, next to a Dunelm store. The unit extends to 2,163 sq ft and has been let on a 20-year unbroken lease at a rent of £115,000 a year.
Alan Pearson of FHP Property Consultant, who acted for the vendor, said: “We took this site to market early last year and received three offers from drive-thru operators, with Starbucks proving successful. We agreed terms in an off-market investment transaction with Custodian REIT via a forward funding route which represents a net initial yield of 6.25%.
Despite the pandemic, the drive-thru asset class is continuing to fare well in terms of operators trade and investor appetite.”
Will Torr of heb, who acted for Custodian REIT, said: “The demand for drive-thru stores continues to grow and the 20-year unbroken lease provides our client with long term income in a resilient and expanding sector.”